"Virtual assets outside the top 10 are risky… ETF issuers must be cautious"

Recently, as Exchange Traded Funds (ETFs) based on virtual assets (cryptocurrencies) are being launched in multiple countries, including the United States and Hong Kong, an opinion was raised that one should be careful in selecting the underlying assets.

According to Cointelegraph, a cryptocurrency-focused media outlet, on the 26th (Korean time), Greg King, CEO of REX Financial, expressed his views in an interview with Bloomberg's 'ETF IQ', stating, "Most virtual assets are quite uncertain," and "Caution is needed when issuing ETF products with tokens outside the top 10 as their underlying assets."

He continued, "Currently, ETFs based on virtual assets are expanding rapidly following the Bitcoin (BTC) spot ETF," but also said, "There is a trend where multiple ETFs are being concentrated on specific virtual assets." He further noted, "There hasn't been a case in the ETF industry where this many identical products have emerged," adding, "This phenomenon of increasing ETFs for each coin will continue, and a lot of capital will likely flow in."

Currently, REX Financial is managing a Solana (SOL) ETF that includes staking rewards. Additionally, they have applied for ETFs that track meme coins such as Official Trump (TRUMP), Bonk (BONK), and Dogecoin (DOGE).

"Solana will grow into the future of stablecoins"

Also in the interview, CEO King shared a positive opinion about Solana. He said, "It is a mistake to think all stablecoins are developed based on Ethereum (ETH)," adding, "I believe Solana will lead the future of stablecoins."

He further commented, "Solana is designed for faster and higher transaction throughput," and "Many people consider Solana a promising candidate to overtake Ethereum," he added.