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BlackRock, the world\u2019s largest asset manager, has shifted its focus to Bitcoin and Ethereum, opting to bypass the launch of any new altcoin-based Exchange-Traded Funds (ETFs).<\/strong><\/p>\n The firm\u2019s Bitcoin (BTC) and Ethereum (ETH) ETFs, IBIT and ETHA, respectively, have shown significant performance milestones this year.<\/p>\n Bloomberg ETF analyst Eric Balchunas reported the stance, citing Jay Jacobs, the head of BlackRock\u2019s ETF department. He said that BlackRock does not plan to launch any new altcoin-focused ETFs. Jacobs also emphasized the company\u2019s intention to concentrate on expanding the reach of its existing Bitcoin and Ethereum ETFs, which have performed exceptionally well so far.<\/p>\n \u201cWe\u2019re just at the tip of the iceberg with Bitcoin and especially Ethereum. Just a tiny fraction of our clients own IBIT and ETHA, so that\u2019s what we\u2019re focused on (vs. launching new altcoin ETFs),\u201d Jay Jacobs reportedly stated.<\/p>\n<\/blockquote>\n The statement highlights BlackRock\u2019s strategy to deepen its foothold in the cryptocurrency market through its flagship ETFs, as opposed to diversifying into smaller altcoins like Solana (SOL) or Ripple\u2019s XRP.<\/p>\n Indeed, BlackRock\u2019s Bitcoin ETF has been a standout performer, recently surpassing over 50 European funds combined in trading volume. Meanwhile, its Ethereum ETF joined the prestigious $1 billion ETF club within just two months of launch. Taken together, these milestones display the increasing institutional appetite for these digital assets.<\/p>\n Against this backdrop, BlackRock\u2019s success has been widely recognized. Its Bitcoin ETF was recently named the top performer of the decade alongside Fidelity\u2019s FBTC.<\/p>\n These achievements align with BlackRock\u2019s cautious approach to the broader crypto space. Earlier this year, the firm confirmed that it was not pursuing a Solana ETF despite market buzz. In late July, BlackRock\u2019s digital asset head Robert Mitchnick cast further doubt on the immediate viability of Solana ETFs.<\/p>\n \u201cI don\u2019t think we\u2019re going to see a long list of crypto ETFs. If you think of Bitcoin, today it represents about 55% of the market cap. Ethereum is at 18%. The next plausible investible asset is at, like, 3%. It\u2019s just not close to being at that threshold or track record of maturity, liquidity, etc.,\u201d Mitchnick\u00a0said.<\/p>\n<\/blockquote>\n Meanwhile, BlackRock\u2019s skepticism on XRP ETF likely stems from the ongoing regulatory uncertainty surrounding the token. By focusing on Bitcoin and Ethereum, the asset manager appears to be doubling down on assets with proven resilience and market appeal.<\/p>\n BlackRock\u2019s cautious stance on altcoins aligns with its overall conservative investment philosophy, which is displayed in its hesitance to endorse a Bitcoin reserve. Nevertheless, the firm has been vocal about Bitcoin\u2019s role in institutional pockets, advocating for the allocation of up to 2% of portfolios to BTC. This mirrors its confidence in the asset\u2019s long-term potential.<\/p>\n Although BlackRock remains uninterested in launching altcoin ETFs, analysts expect the US regulatory playing to change under Donald Trump. Some predict that ETFs for assets like Solana and XRP could receive approval by the end of 2025.<\/p>\n \u201cThe greatest Solana win coming from the new Trump Presidency will be our long-awaited ETF in 2025 or 2026. No surprise, the incredible VanEck team will lead the charge here with support from 21Shares and Canary Capital,\u201d\u00a0said\u00a0Dan Jablonski, head of growth at news and research firm Syndica.<\/p>\n<\/blockquote>\n BlackRock\u2019s potential shift toward entering altcoin-based markets likely depends on achieving regulatory clarity, which could drive significant demand. Meanwhile, Mike Venuto, co-founder of Tidal Financial Group, provided perspective on the broader ETF market, as noted by Balchunas.<\/p>\n \u201cWe have people coming to us all the time trying to pitch \u2018Bitcoin + something else\u2019 ETFs. Every options strategy you can think of is going to be tied to Bitcoin, Nvidia, Tesla, and MicroStrategy in ETFs. It\u2019s coming,\u201d Balchunas reported, citing Venuto.<\/p>\n<\/blockquote>\n BlackRock\u2019s record-breaking success with its Bitcoin and Ethereum ETFs underscores its strategic focus and alignment with market demand. While other firms explore altcoin ETFs, BlackRock\u2019s dedication to expanding its existing offerings positions it as a leader in shaping the future of institutional crypto investments.<\/p>\nStellar Performance Fuels Strategic Focus for BlackRock\u2019s IBIT and ETHA<\/strong><\/h2>\n
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Market Expectations for Altcoin ETFs<\/strong><\/h2>\n
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