According to Cointelegraph, following the debut of the first cryptocurrency-based exchange-traded funds (ETFs) in the United States, investors are now anticipating the next digital asset trading product. Tim McCourt, the senior managing director at CME Group, discussed the potential for an XRP (XRP) ETF during a panel discussion at Ripple Swell 2024. McCourt highlighted that the first major step had already been taken with the establishment of an XRP reference rate and a real-time index. He emphasized the importance of these benchmarks for product providers like Bitwise, which can point to a fully regulated benchmark.

McCourt’s comments come shortly after the US Securities and Exchange Commission received its second application for an XRP ETF from Canary Capital, as noted by Bloomberg ETF analyst Eric Balchunas. Canary was the second provider to file an application for an XRP ETF, following Bitwise Asset Management. The introduction of the first spot Bitcoin (BTC) and Ether (ETH) ETFs has significantly accelerated the growth of the cryptocurrency industry, helping to legitimize the sector. McCourt noted that the advent of ETFs has led to some of the largest open interest days and volume-based futures in the ecosystem.

Despite the enthusiasm around a potential XRP ETF, the token’s price has struggled to gain momentum, even amid a wider crypto market rally. Over the past year, XRP’s price rose just over 8%, while Bitcoin’s price increased by over 154% during the same period. ETFs have the potential to significantly bolster the price of the underlying cryptocurrency. For Bitcoin, spot ETFs accounted for about 75% of new investment in the cryptocurrency by mid-February, as it surpassed the $50,000 mark.

Beyond XRP, the possibility of a spot Solana (SOL) ETF has generated significant excitement among cryptocurrency investors, who view it as a potential price catalyst. Brazil’s first Solana ETF was approved on August 7, setting a precedent for other global jurisdictions. While a US-based spot Solana ETF remains uncertain, its potential approval could have a positive price impact on Solana, according to Alejo Pinto, former IBM blockchain growth lead and founder of Solana layer-2 network Lumio. Pinto suggested that an ETF approval in the US would positively impact Solana’s price due to its current low probability and lack of pricing in. Manthan Dave, co-founder of Palisade, a Ripple-backed digital asset custody platform, also expects a potential Solana ETF by the end of 2024.