The cryptocurrency exchange-traded fund (ETF) market is expected to undergo significant changes in 2025 due to improvements in regulation, product diversity, and institutional adoption.
Crypto ETFs in 2025: What’s Next for Solana, Hedera, and More?
With the introduction of Bitcoin and Ethereum ETFs, experts believe that a new wave of crypto ETFs, including those for altcoins like Solana and Hedera, will emerge supported by a more mature regulatory landscape.
The crypto ETF market saw remarkable growth in 2024. Spot Bitcoin ETFs, which were approved earlier in the year, now account for over 5% of Bitcoin’s total supply, surpassing the estimated 1.1 million BTC attributed to Satoshi Nakamoto. Spot Ethereum ETFs were introduced in July, paving the way for broader adoption of digital asset ETFs.
Nathan McCauley, CEO of Anchorage Digital, emphasized the rapid evolution of the market, stating, “The development of crypto ETFs continues to mature, with various custody providers and the approval of Bitcoin ETF options making the space more accessible to institutional and retail investors.”
Jay Jacobs, head of thematic ETFs at BlackRock, commented, “We are only scratching the surface with Bitcoin and Ethereum ETFs. A small percentage of our clients currently own these products, and our focus remains on them before expanding into altcoin ETFs.”
The appointment of a new US administration in 2025 and the departure of SEC Chairman Gary Gensler signify a significant change in crypto regulation. The appointment of Paul Atkins, a crypto-friendly official, as the head of the SEC has sparked optimism for clearer guidelines and broader ETF approvals.
Nate Geraci, President of ETF Store, expressed optimism, stating, “The regulatory environment for crypto has shifted, and there is growing hope for additional ETF approvals. Industry insiders are particularly optimistic about the Solana ETF. Following the SEC’s interactions with issuers and the success of Bitcoin and Ethereum ETFs, a Solana ETF could potentially be approved by the end of 2025.”
Geraci added, “There is a new administration that is more supportive of crypto. It is likely that the obstacles that previously hindered ETF approvals will be removed.”
In addition to Solana, other altcoin ETFs such as Hedera (HBAR) and XRP are also under consideration. Experts like Louis Sykes of All-Star Charts view Hedera as a more attractive option for institutional investors compared to speculative assets like Dogecoin.
Overall, the crypto ETF market is expected to develop rapidly with the introduction of innovative products in a more favorable regulatory environment.
*Please note that this is not investment advice.
