Bitrabo Editorial
As Ripple nears a conclusion in its legal battle with the U.S. Securities and Exchange Commission (SEC), Bitwise Invest has made a substantial move by submitting the inaugural application for a spot XRP exchange-traded fund (ETF) in Delaware.
Introduction of Bitwise’s XRP ETF
This application, as highlighted by Fox journalist Eleanor Terret, was filed on September 30, and insiders at Bitwise have validated this information. The successful approval of this ETF could have significant effects on the overall cryptocurrency sector.
This action is particularly timely for Ripple, which is on standby for the SEC’s choice regarding an appeal of a recent court decision that could provide enhanced regulatory clarity for XRP.
If the SEC opts against appealing, it might strengthen the argument for XRP as a legitimate investment, making Bitwise’s application even more well-timed.
Nonetheless, securing approval will not be simple. Bitwise’s filing will undergo strict examination and must satisfy various regulatory standards established by the SEC, similar to prior applications for Bitcoin and Ethereum ETFs that received approval earlier this year. The review process may take considerable time, with a decision potentially delayed until next year.
Potential Impact on the Market
An XRP ETF filing might indicate a transformation in the regulatory environment, which could encourage other financial entities, like BlackRock, to submit similar requests.
Additionally, this progress could inspire a wave of interest in other cryptocurrencies eager to enter the ETF market. Speculation is already intensifying about the potential for a Solana ETF, which could soon capture investor attention.
As more details are expected to emerge from the asset manager, the submission of the first U.S. spot XRP ETF has officially occurred.
Currently, XRP’s market performance reflects a 3% loss over the last 24 hours, with the trading price sitting at $0.6028.
However, a possible XRP ETF could greatly influence its price as institutional investors are likely to increase their involvement with the token.
Featured image by DALL-E, chart sourced from TradingView.com