Spot Ethereum ETFs will provide stable and significant capital inflows over time. This was stated by Binance CEO Richard Teng, writes Cointelegraph.
The expert expressed skepticism regarding the scale of revenues in products after their listing.
“They are unlikely to be dramatic at the initial stage. Revenues will fluctuate depending on various macroeconomic factors,” he explained.
Teng believes ETF liquidity has the potential to grow exponentially due to gradually increasing interest from institutional players.
“Such participation can provide a stable and significant influx of capital over time,” he explained.
According to Binance CEO, the first wave of products will provide more opportunities for a wide range of investors. This will address key issues around legitimacy, compliance and security, making them an attractive investment option overall, the specialist added.
On July 18, the SEC approved applications to launch an Ethereum-based mini ETF from Grayscale and a spot exchange-traded fund from ProShares. Trading in instruments is expected to start on July 23. By this date, other issuers of spot ETH-ETFs will have finally taken into account the regulator’s requirements.
