Connect with us

Altcoin

Canada’s 3iQ Under Fire For Misleading Solana ETF Claims, What’s Happening?

Published

2 weeks ago

on


3iQ Digital Asset Management has recently come under scrutiny for its marketing of The Solana Fund (QSOL) as North America’s first Solana exchange-traded product (ETP). The Solana fund, which has filed a preliminary prospectus for an initial public offering of Class A and Class F units, aims to list on the Toronto Stock Exchange (TSX) under the ticker “QSOL”. However, critics argue that 3iQ’s promotional tactics are misleading and the Solana fund is actually not an ETF or ETP.

3iQ’s Solana Fund Is Actually Not An ETF

3iQ, a leading digital asset investment manager, has presented the Solana fund as a pioneering investment vehicle providing exposure to Solana (SOL). According to a press release, the fund aims to offer unitholders exposure to the Solana price movements. Moreover, it wants to offer opportunities for long-term capital appreciation, and staking yields generated by the network.

Hence, to support its staking activities, 3iQ will utilize Coinbase Custody’s institutional staking infrastructure. The fund’s official statements highlight its ambition to be the first Solana ETP listed in North America. However, Bloomberg senior ETF analyst Eric Balchunas has raised concerns about this claim.

Balchunas points out that unless a fund has a “daily creation/redemption process,” it cannot be considered a true ETF or ETP. He argues that 3iQ’s approach is an attempt to “borrow on ETFs’ mountain of popularity and goodwill” without adhering to the strict structural criteria that define these investment products.

Also Read: Solana Co-founder Makes Interesting Remark As Uber Competitor Goes On-chain

Is It A CEF To ETF Game?

Balchunas’ skepticism is echoed by fellow Bloomberg analyst James Seyffart. He acknowledged that 3iQ and other Canadian issuers, like Ninepoint, have historically launched funds as closed-end funds (CEFs) with intentions to convert them to ETFs later. However, he also highlighted that the current marketing around the Solana fund does not make this clear.

Moreover, Seyffart emphasizes that the strategy appears “a little misleading.” This suggests that 3iQ’s communications could better clarify the Solana fund’s actual status and future intentions. Meanwhile, Balchunas acknowledged the pressures of marketing but insists that the tactic employed by 3iQ is “too slick.” In addition, he advised that firms should wait until a product genuinely qualifies as an ETP before labeling it as such.

Also Read: Dog-Themed Meme Coins Outpace Solana Rival

✓ Share:

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Altcoin

XRP Takes Bearish Turn As Whale Offloads 65M Coins, What’s Next?

Published

1 hour ago

on

July 4, 2024

By


Against the backdrop of the crypto market’s remarkable bearish movement today, an XRP whale has continued to dump significant amounts of coins to exchanges. Over the past day, nearly 65 million XRP was recorded to have been offloaded, raising severe concerns among crypto market participants.

XRP is currently feeling the heat of the broader market’s downtrend, as also seen by Bitcoin (BTC) slipping as low as the $57K mark. Further, the whale’s dump, despite the recent advancements in the XRP lawsuit, has curated a storm of speculations on future price movements.

Whale Dumps 65M Coins

In a couple of posts shared by the on-chain transaction tracker Whale Alert, it was pointed out that 64.70 million coins were shifted to CEXs via the same whale address. As per the data, the address …Rzn was registered to have been making the massive dump.

Intriguingly, the whale shifted 32.69 million XRP, worth $15.12 million, to the Bitso crypto exchange. Meanwhile, in another transaction, the whale shifted 32.01 million XRP, worth $14.82 million, to the Bitstamp crypto exchange.

The emergence of these transactions amid XRP showing signs of a pullback has raised bearish market sentiments. Also, it’s worth noting that speculations of this whale being linked to Ripple persist. For context, these transactions became a recurring phenomenon soon after Ripple strategically acquired a stake in Bitstamp.

In the interim, XRP price continued to dip, aligning with the whale’s massive dump and the broader market trend. Despite positive developments in the Ripple vs the U.S. SEC lawsuit, as Ripple filed a notice of supplemental authority, the XRP community is yet to witness a significant shift in market sentiment.

Also Read: German Govt Dumps Another 1300 Bitcoin To Coinbase, Kraken & Bitstamp

XRP Price Tanks

At press time, XRP price showed signs of a pullback, falling 6.84% to $0.4502. The Ripple-backed asset’s 24-hour lows and highs are $0.4486 and $0.4833, respectively.

XRP’s Futures OI dipped 10.08% to $547.41 million, coinciding with the price fall. However, the derivatives volume rocketed 86.88% to $1.58 billion. This hinted at an uncertain market sentiment for XRP.

Meanwhile, crypto analyst Dark Defender took to X, spotlighting the cryptocurrency’s turbulency below $0.4623. The analyst states that the volume is currently at a shallow level, indicating a lack of market activity with no selling or buying. This could potentially pave the way for a dip to $0.3917 should XRP close below $0.4623.

Crypto market enthusiasts continue to eye the token for vital shifts ahead.

Also Read: Ethereum Roll-Out EIP-7732 Proposing Major Shift In Block Validation Process, Here’s All

✓ Share:

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading

Altcoin

Ethereum Roll-Out EIP-7732 Proposing Major Shift In Block Validation Process, Here’s All

Published

2 hours ago

on

July 4, 2024

By


Ethereum is on the brink of a significant upgrade with the introduction of EIP-7732. This Ethereum Improvement Proposal aims to revolutionize the block validation process by implementing a trust-free, fair exchange mechanism between beacon block proposers and builders. The proposal’s primary goal is to enhance the network’s efficiency and security.

Technical Implications and Security Considerations

Currently, block proposers often rely on builders to assemble the content of new blocks, with a middleman ensuring smooth operations. EIP-7732 seeks to eliminate this intermediary, proposing a split in the block validation process. Under this new system, validators would first verify the overall structure of a block before delving into its contents, potentially streamlining network operations.

The proposal also introduces a Payload Timeliness Committee to ensure new blocks are added to the chain quickly and fairly. While this change could significantly improve Ethereum’s security and fairness, it would require a network-wide upgrade, necessitating careful consideration from the Ethereum community.

EIP-7732 proposes several technical changes, including a new approach to handling withdrawals from Ethereum’s beacon chain. While this could increase efficiency, it might also result in temporary empty slots in the blockchain as withdrawals catch up. The Ethereum developers behind EIP-7732 have also prioritized security, incorporating safeguards against various attack vectors and ensuring the system can resist attempts to rewrite recent blockchain history. These measures aim to fortify Ethereum’s resilience and decentralization.

If approved and implemented, EIP-7732 could represent a significant leap forward for Ethereum, potentially strengthening the network and enhancing its decentralized nature. However, the complexity of these changes requires thorough evaluation by the Ethereum community before implementation.

Also Read: BitMEX Expands Support For Dogecoin, Shiba Inu, Pepe Coin & Others; Here’s How

Ongoing Discussions and Market Impact

While EIP-7732 is being considered, Ethereum developers are also discussing the integration of EOF (Ethereum Object Format). Tim Beiko has recommended shipping all Pectra EIPs, including EOF, in a single client release. Discussions are also ongoing regarding EIP 7702, which is being considered as a replacement for EIP 3074. However, some specification issues with EIP 7702 still need to be resolved, and Ethereum protocol developers are working in separate breakout rooms to address these challenges.

These potential changes could impact Ethereum’s market performance. Despite the recent approval of spot Ethereum ETFs by the U.S. Securities and Exchange Commission (SEC), Ethereum has been showing bearish signs. As of the last update, Ethereum price was trading at $3,158.48, experiencing a 5.53% decline over the previous 24 hours.

Also Read: Donald Trump Presidency Can Trigger ‘Global Hash War’ With BTC Reserves, Says Bitcoin Maxi

✓ Share:

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading

Altcoin

Solana DEX Jupiter (JUP) Braces for Major Listing, Recovery Ahead?

Published

3 hours ago

on

July 4, 2024

By


The Solana-based DEX (Decentralized Exchange) Jupiter (JUP) has recently captured noteworthy attention across the crypto space. Despite the broader crypto market’s bearish movement today, July 4, the JUP token has amassed optimism over future price movements.

Notably, Upbit, a well-known South Korean crypto exchange, has added support for the Solana DEX’s native token on its platform. This mover stages as an optimistic factor and is expected to bolster the token’s future price movements.

South Korean Exchange Unveils Listing

According to the official statement revealed by the Ubit crypto exchange, JUP trading is to commence today. The available pairs are JUP/USDT, JUP/BTC, and JUP/KRW.

Deposits and withdrawals will commence two hours after the official statement is revealed. The network for deposits and withdrawals is Solana.

It’s worth noting that the exchange does not support transactions through other than guided networks. Further, buy orders are prohibited for approximately 5 minutes after the trading support. “Sell orders at prices less than 10% of the previous day’s closing price are restricted for approximately 5 minutes after trading support,” the exchange added.

Meanwhile, other updates on the JUP listing were also rolled out on Upbit’s official site.

Simultaneously, crypto market participants expect a paradigm shift in prices, as previous listings on the South Korean exchange have fueled significant upside actions. CoinGape Media reported earlier this year that Zetachain (ZETA) and Omni Network (OMNI) saw a phenomenal uptick in prices as trading volumes surged with Upbit listing.

These chronicles have added an optimistic tint to the JUP token’s future price movements despite today’s dip.

Also Read: Donald Trump Presidency Can Trigger ‘Global Hash War’ With BTC Reserves, Says Bitcoin Maxi

Jupiter Price Plunges

At press time, the JUP token’s price saw a 3.41% fall to trade at $0.7986. Its 24-hour lows and highs are $0.7446 and $0.8273, respectively.

However, the token’s 24-hour trading volume was up 103.03% over the past day, at $219.30 million. Also, it’s worth noting that today’s fall is in line with the broader market movement. Even SOL price saw a 7.69% dip in value to trade at $134.54.

Nonetheless, as mentioned above, a substantial money influx with the listing could result in a recovered price ahead.

Also Read: Coinbase Files Against SEC Blockade On Gary Gensler Info In Court

✓ Share:

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading
Advertisement

Trending

Copyright © 2024 coin2049.io