According to Coinomedia, Bloomberg ETF analyst James Seyffart has warned that a wave of crypto ETP liquidations could occur by 2027 due to low demand and capital concentration. Over 100 crypto ETPs are expected to launch by 2026, but Seyffart predicts many will fail to attract sufficient investor interest and face closures. He notes that, similar to traditional ETF markets, underperforming funds with poor inflows are unlikely to survive. Only the strongest ETPs, likely those tied to major coins like Bitcoin and Ether, are expected to endure.
Bloomberg Analyst Warns of Crypto ETP Liquidations by 2027
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Summary
Bloomberg analyst James Seyffart has warned that crypto ETP liquidations could surge by 2027 due to weak demand and capital concentration. Over 100 token launch projects are expected by 2026, but many may fail to attract investors. Seyffart says underperforming crypto ETPs will likely close, leaving only top-tier products—those linked to major coins like Bitcoin and Ether—to survive.
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