JPMorgan Projects SOL, XRP ETFs To Print Billions—Approval Chances Still Uncertain

JPMorgan Sees Billions Flowing Into Potential SOL and XRP ETFs

According to JPMorgan, SOL and XRP ETFs could collectively draw up to $14 billion in investments.

The bank’s report highlights that, historically, ETF assets accounted for 6% of Bitcoin’s total market cap after their first year of trading.

Similarly, Ethereum ETFs represented 3% of Ethereum’s total market cap within six months.

Applying these adoption rates, JPMorgan estimates that Solana could attract $3-6 billion in new assets, while XRP might see $4-8 billion in new assets.

Analysts Weigh In

Bloomberg ETF analyst Eric Balchunas echoed JPMorgan’s predictions.

“JPMorgan is saying that altcoin ETFs will collect $14 billion inflows in the first year, $3-6 billion for Solana and $4-8 billion for XRP,” he noted on X.

“My team hasn’t made any formal predictions yet, but this seems like a pretty reasonable guess. Gotta get the approvals first, though,” Balchunas added.

JPMorgan analysts also highlighted the uncertainty surrounding investor demand for new crypto products, emphasizing the importance of regulatory approval.

The Approval Question

VanEck’s CEO previously suggested that a Solana ETF would be viable only under a Republican presidential administration.

Ripple’s CEO Brad Garlinghouse believes an XRP ETF could be a logical next step but acknowledges the uncertainty around its approval timeline.

Four firms—WisdomTree, Bitwise, 21Shares, and Canary Capital—have filed applications for spot XRP ETFs.

WisdomTree’s application, submitted on Dec. 2, requires the SEC to respond by Jan. 16, just after the Jan. 15 deadline for the SEC’s appeal in the ongoing Ripple lawsuit.

Five firms—Grayscale, Bitwise, VanEck, 21Shares, and Canary Capital—have applied for Solana ETFs.

The SEC has 45 days to decide whether to accept the applications. Grayscale could potentially receive a response by Jan. 23, 2025, and others shortly after.