
The anticipation for the first memecoin-based exchange-traded funds (ETFs) is rising under new leadership at the US Securities and Exchange Commission. Despite the growing likelihood of these ETFs, including those based on President Donald Trump’s Official Trump (TRUMP) memecoin, ARK Invest’s Cathie Wood has declared she will not invest in these tokens, choosing instead to concentrate on established cryptocurrencies like Bitcoin, Ether, and Solana.
The prospect of these memecoin-based ETFs gaining approval has increased with Mark Uyeda at the helm of the SEC. There has been a surge in ETF filings stemming from the popularity of Trump family memecoins, which have garnered notable retail interest. The first filings for TRUMP, Dogecoin (DOGE), and Bonk (BONK) ETFs have been submitted, signaling a potential shift towards more acceptance of these digital assets.
Dmitrij Radin, the founder of Zekret, notes that Trump’s SEC picks, known for being crypto-friendly, may enhance the chances of these memecoin ETFs gaining approval. Such developments could potentially inject more liquidity into the market and lead to greater mainstream acceptance.
Cathie Wood, the CEO of ARK Invest, maintains her focus on the “Big Three” cryptocurrencies, expressing skepticism about the TRUMP coin due to its perceived lack of utility. Wood compares the memecoin craze to the initial coin offering frenzy of 2017, indicating a cautious stance on its speculative nature.
Meanwhile, Joseph Lubin, co-founder of Ethereum, speculates that the Trump family might expand their crypto endeavors by launching ventures on the Ethereum platform. This follows the release of Trump-branded memecoins and his recent presidential inauguration.
In a separate critical development for the crypto industry, a US court has overturned sanctions against the Tornado Cash mixing protocol, initially sanctioned for alleged North Korean money laundering activities. This court decision is seen as pivotal, possibly paving the way for more innovation-friendly regulations for privacy-preserving technologies.
Additionally, the Phemex crypto exchange has halted withdrawals following alerts of suspicious outflows amounting to nearly $30 million. The suspicious transactions have raised concerns and involve transfers across multiple blockchains, prompting further scrutiny by blockchain security firms.
Overall, the cryptocurrency market remained largely positive, with most of the top 100 cryptocurrencies ending the week in the green. The Official Trump token stood out with a remarkable 429% increase, highlighting its role as a significant gainer alongside other cryptocurrencies.