Trump win could fast-track first staked Ether ETF — Nansen analyst

As a seasoned crypto investor with a decade-long journey under my belt, I find myself intrigued by the potential implications of Donald Trump’s presidency for the cryptocurrency market, particularly Ether (ETH). With Trump’s pro-crypto stance and his administration’s likely embrace of crypto industry innovation, we could be on the cusp of a breakthrough – the first staked ETH exchange-traded fund (ETF).


The win of Donald Trump in the U.S. Presidential election on November 5th may open up opportunities for a wider variety of cryptocurrency investment options, particularly focusing on Ethereum as the second largest global cryptocurrency.

The presidential election that took place on November 8 is generally viewed as beneficial for cryptocurrency regulations during the following four years, since Trump emerged victorious.

According to analyst Edward Wilson from Nansen, it’s expected that a Trump administration might be open to fostering more advancements within the cryptocurrency sector, potentially marking the launch of the first exchange-traded fund (ETF) based on staked Ether (ETH).

The analyst told CryptoMoon:

“As the regulatory environment will likely be pro-crypto, we may even see a staked ETH ETF approved early in this new administration, which will fully leverage the benefits of ETH as an asset. If this occurs, then ETH will become an exciting asset to watch. Put differently, ETH is cool again.”

If additional Exchange Traded Funds (ETFs) linked to Ether are launched, there’s a possibility that Ether’s price could surpass its old peak of $4,800, a level last seen on November 16, 2021, which is almost three years back.

Trump win could fast-track first staked Ether ETF — Nansen analyst

Approximately 75% of fresh investments into Bitcoin (BTC) were driven by Exchange Traded Funds (ETFs) when its value surpassed $50,000 in February 2024, a month after these funds became available for trading in the US.

Europe may front-run the US on the first Ether-staking-related ETF

The European market could be the first to see the introduction of an Ether staking-related ETF.

At EthCC, specifically addressing CryptoMoon, the CEO of dYdX Foundation, Charles d’Haussy, stated that the launch of the Ether staking ETF could mark a major landmark in our industry. In simpler terms, he expressed that this event would be a significant achievement for the crypto sector.

“The US is probably not ready for that, but the European market or some adjacent market will give us a way into Ethereum staking ETFs.”

D’Haussy added that he is bullish on the next Ether ETF, whether that will be an Ether staking ETF or staked Ether ETF, which could have different implications. He explained:

Nevertheless, certain investors have expressed dissatisfaction with the performance of U.S. spot Ethereum Exchange-Traded Funds, as they have collectively experienced approximately $489 million in net withdrawals since their debut, according to data from Farside Investors.

Trump win could fast-track first staked Ether ETF — Nansen analyst

Analysts had already foreseen that inflows would remain stable, well before the debut of Ethereum-based ETFs. Interestingly, Eric Balchunas, a senior ETF analyst at Bloomberg, had earlier shared with CryptoMoon his view that these Ethereum ETFs might serve as secondary players compared to more established Bitcoin ETFs when it comes to attracting inflows.

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2024-11-07 20:24