- Brad Garlinghouse of Ripple has suggested that an ETF for XRP is on the way, citing the recent approval of Ethereum ETF.
- It is unlikely that the SEC will allow an XRP-based ETF until the Ripple case has been resolved.
The speculation about the next crypto-ETF that could be approved and filed by the SEC is exploding. One candidate that is a frontrunner is XRP. It’s the native token created by RippleLabs and used for the XRP Ledger.
The U.S. Securities and Exchange Commission has finally approved eight Ethereum ETF applications, including those from BlackRock, Grayscale VanEck and Fidelity. The second time the SEC has approved an Ethereum spot ETF after launching the Bitcoin ETF in January. The approvals show a shift in regulators’ attitude towards crypto as they begin to accept the industry.
Crypto community is now speculating about the next approval. With analysts predicting the approval of ether as an ETF would open floodgates to other crypto-ETFs, they are speculating what the next approval will be. Solana is a leading candidate, followed by Litecoin and XRP. Solana is likely to be approved quickly if institutional investors show interest. Litecoin, on the other side of things, shares many similarities with Bitcoin. As Litecoin founder Charlie Lee highlightedLitecoin is classified like Bitcoin because they have similar proof-ofwork algorithms.
XRP, the only cryptocurrency whose status is protected by law following a ruling last year from Judge Torres that XRP tokens weren’t securities. Legal experts believe that Ripple will win the battle, even though the court case is ongoing and a final ruling should be expected within the next few months. Legal clarity provided by the ruling may encourage institutional investors to both invest in XRP and offer XRP related products like an XRP Exchange Traded Fund.
Ripple CEO talks about XRP ETF
Brad Garlinghouse, Ripple’s CEO, seems to be in agreement with experts who believe that a XRP-based ETF may follow Ethereum. Garlinghouse liked three posts from influential XRP advocates who said that an XRP etf would be the next after the Ethereum etf.
Big momentum in crypto this week – ETH ETF passed and bipartisan support on crypto legislation…
You feel like the hell frozen over! 🥶 https://t.co/70T0qLt1FH
— Brad Garlinghouse (@bgarlinghouse) May 24, 2024
The CEO stated in an interview that an ETF was inevitable, but did not speculate about the time frame of the product. Sean McBride has stated that an XRP-based ETF could appear by 2025.
Interestingly, a couple of months back, it was rumored that BlackRock would be working on XRP. As reported BlackRock, BlackRock’s parent company, later refuted the claims made by CNF.
The ongoing Ripple V. SEC litigation is causing market experts to continue to state that it could pose a threat in the application and approval process for an ETF. The case is nearing its end, and institutions might take an increased interest. This could push demand up to record highs.
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Source: www.crypto-news-flash.com
