Four asset managers are seeking approval to offer the first XRP exchange-traded funds (ETFs) in the United States.
Several asset managers have filed for spot ETFs involving XRP, the third-largest cryptocurrency by market cap, according to recent filings.
WisdomTree filed an S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) on December 2that describes plans to create shares of an exchange-traded fund. The fund would hold XRP and provide exposure to the token’s price.
WisdomTree aims to list the fund on the Cboe BZX exchange. According to the filing, WisdomTree Digital Commodity Services would act as sponsor, Delaware Trust Company would act as trustee, and BNY Mellon would act as administrator.
At least three other companies have filed for similar ETFs in recent weeks and months. Bitwise filed its S-1 registration statement on October 2. Canary Capital filed its registration statement on October 9 and 21Shares filed on November 1.
21Shares and Bitwise included Coinbase Custody in custodial roles. WisdomTree and Canary Capital did not name custodians in their filings.
Otherwise, every company is involved with crypto ETFs. WisdomTree, 21Shares, and Bitwise began offering spot Bitcoin ETFs in January 2024. Bitwise and 21Shares also offered spot Ethereum ETFs months later in July.
So far, no company has launched a spot XRP ETF in the United States, meaning the asset managers mentioned above could be the first to do so.
Although the SEC rejected spot crypto ETFs for several years, its recent approvals of Bitcoin and Ethereum crypto ETFs could pave the way for more approvals.
Additionally, SEC Chairman Gary Gensler, known for his critical stance on cryptocurrencies, will leave his position in January. Although Gensler voted in favor of Bitcoin ETFs, US President-elect Donald Trump is expected to choose an SEC Chairman with a stronger pro-cryptocurrency stance, which could lead to the agency be more friendly to cryptocurrency-related applications.
Outside the US, there are investments in XRP. Bitwise offers a European XRP exchange-traded product (ETP). On November 28, announced a rebrand and said Ripple will invest in the product. Ripple is closely involved with XRP.
Other asset managers including 21Shares, CoinShares, and ETC Group also offer XRP ETPs in the European market.
ETFs and ETPs give investors exposure to the price of XRP without the need to use exchanges, tokens or crypto wallets, an approach that could appeal to a broad audience, including institutional and traditional investors.
Disclaimer: The information contained herein is provided without regard to your personal circumstances, therefore it should not be construed as financial advice, investment recommendation or an offer or solicitation to trade in cryptocurrency.
