Cathie Wood Endorses Crypto ETFs Amid Wallet Growth, Criticizes SEC Delays—Bitcoin and Ether ETFs Lead Inflows, Solana Eyes Future Products

Cathie Wood, CEO of ARK Invest, reiterated the long-term importance of cryptocurrency ETFs despite the rapid rise in crypto wallet adoption. Speaking at New York’s Solana Accelerate event, she highlighted that while digital wallets are gaining traction with over 200 million active Bitcoin wallets globally, ETFs remain the top choice for mainstream investors due to their simplicity and accessibility via traditional brokerage accounts. U.S. spot Bitcoin ETFs have attracted over $44 billion in inflows since January 2024, including $2.75 billion in one recent week as Bitcoin hit a record high of $111,970. In contrast, spot Ether ETFs have only seen $2.77 billion in inflows, largely due to SEC restrictions, especially the prohibition on staking within ETFs. Wood noted that Ether still offers a gateway for investors to explore smart contracts and other blockchain assets like Solana. Meanwhile, VanEck and other industry players criticized the SEC’s repeated delays and lack of transparency surrounding ETF approvals, including the postponement of applications for spot XRP and ETFs with in-kind creations and options. Market optimism remains high for future ETF launches, including potential Solana ETFs, particularly after high-profile developments like Donald Trump’s memecoin on Solana. The continuing tension between ETF innovation and regulatory clarity is expected to influence short-term sentiment for cryptocurrencies, with product accessibility and regulatory changes shaping future adoption patterns.