The US Securities and Exchange Commission (SEC) has delayed
its decision on Grayscale’s application for a spot XRP exchange-traded fund
(ETF). A notice filed on Tuesday stated that the agency requires “a longer
period” to evaluate the proposal.
SEC Review of Grayscale’s XRP ETF
The SEC acknowledged Grayscale’s application last month,
starting a 45-day review period. The agency can extend this process for up to
240 days from the date the proposal was published in the Federal Register. The
next deadline falls on May 21, but a final decision may not come until
mid-October.
Franklin Templeton Files for Spot XRP ETF
Meanwhile, Franklin Templeton has filed for a spot XRP ETF.
The proposed fund aims to track the spot price of XRP, with assets held by
Coinbase Custody. Shares would trade on the Cboe BZX Exchange, with creation
and redemption handled through cash converted to XRP via a third party.
Shareholders would not receive XRP Ledger forks or airdrops.
The SEC has up to 240 days to review Franklin Templeton’s
application. The firm joins Bitwise, 21Shares, Canary Capital, WisdomTree, and
CoinShares in seeking approval for an XRP ETF. These filings reflect a broader
trend of major financial firms entering the crypto ETF market.
🚨 BREAKING: Franklin Templeton has filed for a spot $XRP ETF with the SEC.Let me say this again, WITH THE SEC!! 🤯 pic.twitter.com/7s1d8w4xdi
— 👑 𝕂𝕚𝕟𝕘 𝕂𝕒𝕣𝕒𝕟 👑 (@KingKaranCrypto) March 11, 2025
XRP ETF Demand Follows Bitcoin ETF Success
The interest follows the success of spot Bitcoin ETFs. These
funds have seen rapid adoption and now manage nearly $100 billion in assets.
Ripple Labs CEO Brad Garlinghouse has previously stated that an XRP ETF
approval in the U.S. is “inevitable,” citing demand from institutional and
retail investors.
However, the uncertainty surrounding regulatory approval has
coincided with market activity. XRPUSD is currently hovering around a key
confluence level on the intraday charts, with the potential to generate strong
momentum in either direction. Traders are watching for a breakout as
speculation around the ETF decision continues.
This article was written by Tareq Sikder at www.financemagnates.com.
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