What’s Next for Crypto as 21Shares Marks Historic Success and VanEck Confronts Challenges, Spot Bitcoin ETFs Surge

Ophelia Snyder, the co-founder and president of 21Shares, recently discussed the success of spot Bitcoin ETFs in an interview with Bloomberg on January 30. Snyder expressed her enthusiasm for the approval of the joint spot Bitcoin ETF between 21Shares and Ark Invest by the U.S. Securities and Exchange Commission (SEC) on January 10. She praised the significant influx of funds into these ETFs, positioning it as one of the most successful ETF launches in history. Over $600 million has been invested in their product in recent weeks, marking a remarkable achievement.

Snyder finds this trend exciting as it attracts a diverse base and introduces advisors to the crypto community, shaping the future of the ecosystem. Total inflows across all spot Bitcoin ETFs were reported to be $1 billion by Bloomberg. Snyder downplayed concerns about this figure being relatively modest compared to the pre-approval hype, emphasizing the ongoing process of integrating ETFs into more platforms and making them widely accessible to advisors. This transformation is expected to unfold over the next three months.

In a recent interview, Jan van Eck, the CEO of VanEck, a global investment management firm, discussed two significant obstacles hindering the tokenization of real-world assets (RWAs). Van Eck highlighted the primary challenge of ensuring sufficient liquidity for tokenized assets and questioned who would provide the necessary funds. He also emphasized the need for advanced market mechanisms and a supportive regulatory environment that provides clear rules and backing for the tokenization of RWAs.

Van Eck noted that the existing regulatory environment in the U.S. presents obstacles for such ventures and is unlikely to be the primary choice for tokenized markets until significant changes occur. Despite a positive shift in regulatory attitudes towards tokenization, the absence of clear industry regulations is expected to hinder progress in this transformative space.