The crypto investment sector is on the brink of a potential shift towards significant digital assets like Ethereum and XRP, following the possible approval of the first spot Bitcoin ETFs in the United States by the Securities and Exchange Commission (SEC). The SEC is currently reviewing several applications for spot Ethereum ETFs, but no applications for XRP ETFs have been filed yet.
Steven McClurg, Chief Investment Officer at Valkyrie Investments, believes the landscape could change rapidly. Valkyrie Investments is one of 11 applicants awaiting approval for a spot Bitcoin ETF. McClurg expects a spot Bitcoin ETF approval soon and trading to commence shortly after.
In a recent TV appearance for Bloomberg Crypto, McClurg discussed the prospects for a spot XRP ETF. He anticipates a surge of filings for Ethereum and possibly Ripple, given its recent progress. Grayscale’s recent addition of Ripple to one of their publicly traded trusts supports this expectation. However, McClurg was uncertain about Valkyrie’s strategy towards these assets, stating that anything could happen in this market.
The crypto community has shown a keen interest in the possibility of an XRP ETF, with the term “XRP ETF” trending recently. This interest was partly sparked by Grayscale Investments’ decision to reintegrate the cryptocurrency into its Grayscale Digital Large Cap (GDLC) Fund.
There have been rumors that Fidelity Investments has introduced an XRP Exchange-Traded Product (ETP). However, these reports are inaccurate. Fidelity’s platform features 21Shares’ XRP ETP, listed on the Swiss Exchange SIX, but it is not registered in the United States.
Not all experts are optimistic about an XRP ETF. Bloomberg ETF analyst James Seyffart expressed a cautious perspective, stating that XRP is unlikely to get through the SEC’s doors anytime soon. He explained that the Chicago Mercantile Exchange (CME) would need to list XRP futures as a regulated market of sufficient size, a prerequisite that currently seems distant.
Seyffart’s analysis highlights the complex regulatory environment for cryptocurrencies in the US, especially for assets like XRP, which have been under intense scrutiny. The potential for an XRP ETF depends not only on market demand but also on a complex interplay of regulatory milestones and market readiness. As of the time of writing, XRP was trading at $0.56346.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 🇨🇠|
| Sentiment | neutral |
| Relevance Score | 1 |
| People | James Seyffart, Steven McClurg, Sonali Basak |
| Companies | Grayscale Investments, Fidelity Investments, Valkyrie Investments, Swiss Exchange SIX, Securities and Exchange Commission |
| Currencies | Ethereum, Bitcoin, XRP |
| Securities | None |
