The Securities and Exchange Commission (SEC) has made a decision on whether to allow an exchange-traded fund (ETF) to track the price of XRP (XRP).
The SEC acknowledged the 19b-4 application filed by the New York Stock Exchange (NYSE) and asset manager Grayscale, which is its first response to a document regarding cryptocurrency assets. This means the committee now has up to 240 days to decide on filing.
While regulators have previously confirmed several other applications for crypto-centric ETFs, including Solana (Sol), Litecoin (LTC) and Dogecoin (Doge) (Doge), this latest is in light of the SEC’s lawsuit against Ripple It is important to confirm that it is important to XRP.
The SEC sued Ripple in December 2020 for allegedly suspected of violating U.S. securities laws and using XRP as an unregistered guarantee to raise funds. Ripple partially won the court case in August 2023, and XRP was considered non-security when sold by a federal judge on the secondary market.
SEC appeals the case on January 15, with Donald Trump serving as U.S. president for five days debate This ripple approach to selling XRP meets the tenet of Howey Test, a Supreme Court precedent used as a common criterion for identifying securities.
“They could have rejected this document easily,” said Nate Geraci, president of ETF Store postal On X. “Huge information (I think).
Last week, Bloomberg ETF analysts James Seyffart and Eric Balchunas predicted that the XRP ETF would approve a 65% chance by the end of 2025. The two analysts provided the LTC ETF with the greatest opportunity (90%), followed by Doge (75%) and SOL (65%).
All current outstanding ETF applications for these assets will be decided in October.
