Analyst predicts memecoin ETFs by 2026, but ONE hurdle remains…

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Will Memecoins Become the Next Big Thing? 🤔💰

  • Memecoin ETFs could debut by 2026, driven by demand for actively managed crypto products.
  • SEC delays fuel frustration, but issuers push for “first-to-file” ETF review model restoration.

In the swirling mists of the crypto cosmos, where fortunes are made and lost with the flick of a digital coin, the specter of memecoin ETFs begins to loom. Ah, the sweet scent of speculation! 🌌

From the depths of the internet, a voice emerges—Vladcoin, a sage of the digital age, proclaims,

“I think there should be an ETF that actively trades memecoins — buying and selling based on performance. It would hold the promising ones and sell off the weaker ones. Basically, an actively managed memecoin ETF.”

Bloomberg ETF analyst Eric Balchunas weighs in

And lo! The oracle of Bloomberg, Eric Balchunas, casts his gaze upon the horizon, foreseeing a deluge of actively managed cryptocurrency ETFs by the twilight of 2025. The stage is set for a carnival of niche offerings, where memecoins might just steal the show!

He envisions a U.S.-listed memecoin-focused ETF making its grand entrance as early as 2026, a testament to the growing fascination with these once-mocked digital assets. Who knew the underdogs could rise? 🐶

Balchunas muses,

“Really good chance this exists at some point. First we’ll get slew of active crypto ETFs (eta Winter 2025). Active memecoin-only likely 2026 tho.”

He further elaborates,

“The return dispersion (and lack of sell side coverage) ripe for active. Could produce next star manager. Who knows.”

In his wisdom, he suggests that memecoin-focused ETFs might be the perfect playground for active management strategies, given the wild rollercoaster of performance across various tokens and the scant financial research that surrounds them. 🎢

Moreover, he hints at a clever twist: instead of holding memecoins directly, these ETFs might find their way through alternative avenues, investing in other ETFs registered under the 1940 or 1933 Acts that include memecoin holdings. A crafty maneuver, indeed!

This strategy would allow fund managers to weave flexible portfolios while tiptoeing through the regulatory minefield, potentially making such products more palatable for the mainstream investor. 🍽️

Challenges ahead

Yet, dear reader, the road is fraught with peril! Despite the burgeoning interest in niche crypto ETFs, progress remains ensnared in the web of SEC delays, as they ponder the fates of proposals involving Ripple [XRP], Solana [SOL], Litecoin [LTC], and the ever-controversial Dogecoin [DOGE].

These repeated deferrals have ignited a fire of frustration among issuers, who are left twiddling their thumbs.

In a bold move, ETF providers like VanEck, 21Shares, and Canary Capital have beseeched the SEC to return to a “first-to-file” review model, arguing that it would restore fairness and transparency to the approval process. A noble quest!

Until the clouds of uncertainty clear, the path forward for memecoin and other crypto-focused ETFs remains shrouded in mystery, hinging precariously on the whims of regulatory clarity. 🌫️

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2025-06-09 06:22