The anticipation for an $XRP is growing, with increasing clarity on its potential approval by the U.S. Securities and Exchange Commission (SEC). BlackRock is expected to submit an application for an XRP-traded fund (ETF), following its ongoing interest in crypto ETFs, as per Nate Geraci, President of ETF Shop.
The legal battle between Ripple Labs and the SEC plays a crucial role in shaping the future of XRP ETFs. The SEC has accused Ripple of selling unregistered securities through XRP, and its classification—whether as a security or commodity—will impact regulatory requirements. If XRP is classified as a commodity, it could bypass certain securities regulations, paving the way for ETF approvals.
Several major financial firms, including Franklin Templeton, Bitwise, ProShares, and Grayscale, have already submitted XRP ETF applications, with a deadline set for March 12, 2025. Grayscale is also considering converting its XRP Trust into an ETF, aligning with regulatory developments and growing investor demand.
Market analysts suggest that a favorable SEC ruling and ETF approvals could lead to a surge in institutional investments, potentially pushing XRP’s market capitalization to $200 billion. The increasing involvement of institutional investors through ETFs could boost market liquidity and accessibility, making XRP a more attractive asset in the crypto market.
While no official approval has been granted yet, the pro-crypto stance of the U.S. government and the SEC’s engagement with ETF applications signal optimism for a potential XRP ETF launch in the near future.
