Ethereum Spot ETF Receives SEC Approval on 5/23, But Official Listing Still Requires Approval of S-1 Document. ETH Price Stagnates, and Some Believe Ethereum Has Yet to Find a Concise and Powerful Advertising Slogan, Which Could Pose a Major Obstacle for Ethereum Spot ETF in Attracting Older Investors.
Ram Ahluwalia, Founder and CEO of Lumida Wealth, believes that positioning is crucial. Ethereum is like a “decentralized app store” with a basket of growth stocks similar to QQQ. On the other hand, Bitcoin is positioned as a commodity, and SOL is a story about gaming and decentralized exchanges. These assets complement each other and help each other grow.
Ahluwalia believes that at the highest level, Ethereum is decentralized computing. At the user level, Ethereum is like a “decentralized app store.” ETH is more similar to QQQ, a basket of growth stocks, rather than a hedge against inflation. This is a strong and powerful narrative.
Note: QQQ is an ETF issued by Invesco that tracks the Nasdaq 100 Index, which includes the 100 largest companies listed on the Nasdaq stock market, primarily in the technology sector, including Microsoft, Apple, Amazon, etc.
In addition, the staking yield of ETH plays a role in the investment portfolio and allows asset managers to run models. Ethereum is most suitable for tokenization, which is a response to counterparty risk and lack of transparency in the 2008 crisis.
Ahluwalia believes that Ethereum is a decentralized innovation story. Centralized intermediaries like Apple and Goldman Sachs have too much control, and investors will seek decentralized app stores like Ethereum, where control belongs to the users, not gatekeepers.
Ahluwalia believes that the Ethereum community made a mistake when trying to position it as a “currency,” just as Bitcoin tried to do smart contracts.
Differentiation, specialization, and narrative clarity are the keys to winning. These assets complement each other, just like if someone builds a beautiful house next to you, your assets will appreciate as well. So, when your neighbor sells the house at a higher price, you should support them.
Ahluwalia also mentioned that BTC, SOL, and ETH have extensive use cases and applications.
Bitcoin is associated with commodities, and we are in a supercycle of commodities driven by quantitative easing, wars, deficits, and more. Solana, on the other hand, is a story about gaming and decentralized exchanges.
Nasdaq needs more competition. And users should have ownership rights on the blockchain, not Amazon or Netflix.
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Ram Ahluwalia
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