Ethereum Spot ETF: Experts Evaluate ETH Selling Point After ETF Approval

In an interesting twist, the U.S. Securities and Exchange Commission (SEC). has approved the pending Ethereum spot ETF questions last week. This key development has led to comments about the value and acceptability of the Ether token, especially among a specific demographic.

If Bitcoin is digital gold, what is Ethereum?

Eric Balchunas, ETF analyst at Bloomberg, brought to the X platform to discuss the chances of success of the Ethereum spot ETF market following the recent approval. The analyst highlighted how the acceptability of the Ethereum token, especially among investors in the age group between 60 and 80 (baby boomers), could represent a challenge for the performance of investment products.

According to Balchunas, one way ETF issuers might be able to penetrate the “baby boomer” market is to distill the value or purpose of ETH ETFs into an “easy-to-understand sound bite.” The Bloomberg analyst questioned whether Ethereum has simple strength citing “Bitcoin is digital gold” as an exemplary marketing line that the older generation can resonate with.

Balchunas then asked in his post:

Is there a simple joke like that for Ether? If so, what is it?

There were several interesting responses from notable personalities in the cryptocurrency space. Specifically, crypto journalist Colin Wu called Ethereum “Internet Web 3.0”.

Prominent cryptocurrency investor and partner at venture capital firm Cinneamhain Ventures, Adam Cochran, also responded, stating that “Ethereum is like digital oil.” Cochran further explained that Ethereum is the gas that powers decentralized protocols.

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Meanwhile, James Check (popularly known as CheckMatey), lead analyst at Glassnode, suggested that Ether has no strength at all. “Ethereum still doesn’t have an elevator, despite years of trying,” the cryptocurrency expert said a post about X.

ETH ETF to Pave the Way for More Funds: TD Cowen

Although it is not clear whether the Spot ETF on Ethereum is successful, these newly approved funds are expected to introduce even newer crypto products in the coming year. According to the research team at investment bank TD Cowen, a product containing a “basket of crypto tokens,” perhaps just Bitcoin and Ether or other tokens, could be next in line.

However, the research team noted in its report that the recent approval of the Ethereum spot ETF does not indicate a change in the SEC’s overall attitude towards cryptocurrencies. This was highlighted in President Gary Gensler’s recent statement against the passage of cryptocurrency legislation.

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“We anticipate that the agency will continue to file lawsuits against cryptocurrency trading platforms that trade tokens that the agency believes are unregistered securities,” TD Cowen researchers said of the SEC maintaining its Democratic majority until 2026.

ETH price hovers around $3,800 on the daily timeframe | Source: ETHUSDT chart on TradingView

Featured image from iStock, chart from TradingView

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