The cryptocurrency community is abuzz with the prospect of an XRP-based Exchange Traded Fund (ETF), with indications suggesting a favorable market sentiment. Valkyrie Investments’ Chief Investment Officer, Steven McClurg, has hinted at a stronger likelihood of the U.S. Securities and Exchange Commission (SEC) greenlighting an XRP ETF over an Ethereum-based one. This speculation comes amidst the broader debate on the regulatory approval of cryptocurrency ETFs in the United States.
Ripple’s Optimism for XRP ETF
Ripple‘s CEO Brad Garlinghouse provided insights that bolster the anticipation surrounding an XRP ETF. The cryptocurrency community, especially XRP enthusiasts, are keenly observing developments following the successful launch of Bitcoin ETFs in the U.S. market. The general consensus among market observers is that an XRP ETF could successfully navigate SEC’s regulatory landscape without significant pushback.
The ongoing discussions surrounding both XRP and Ethereum ETFs are fueled by recent regulatory campaigns and market movements. Investors and crypto-curious observers alike are closely monitoring the SEC’s position on these matters, with a particular interest in how the regulatory environment could shape the future approval of cryptocurrency-based investment products.
Ethereum ETF’s Regulatory Challenges
Concurrently, there is a growing focus on the status of an Ethereum ETF approval. The SEC’s stance has been to resist approving a spot Ethereum ETF, simultaneously advocating for Ethereum to be classified as a security. Grayscale’s Chief Legal Officer Craig Salm previously expressed the firm’s strong expectation for the approval of their spot Ethereum ETF.
Salm highlighted Grayscale’s constructive dialogue with the SEC leading up to the approval of Bitcoin ETFs, detailing discussions on various operational aspects with authorized participants and liquidity providers. The crypto industry watches closely as the SEC navigates the evolving landscape of cryptocurrency ETFs and their potential impact on investor engagement and market development.