Canary Capital Announces XRP ETF for Investors

user avatar

by Giorgi Kostiuk

2 years ago

Canary Capital has filed to establish an exchange-traded fund (ETF) for the cryptocurrency XRP, becoming the second entity this week to show interest in launching such a product.

Details of Canary Capital's Filing

In their October 8 filing with the U.S. Securities and Exchange Commission (SEC), Canary Capital stated that their ETF would allow investors access to the XRP market via a traditional brokerage account, avoiding possible barriers or risks linked to directly acquiring and holding XRP.

Advantages and Limitations of XRP ETF

The Canary Capital fund will track XRP’s price using the CME CF Ripple index, offering a real-time price benchmark. It will avoid using derivative products to minimize additional counterparty and credit risks.

[Canary Capital] believes that the design of the Trust will enable certain investors to more effectively and efficiently implement strategic and tactical asset allocation strategies that use XRP by investing in the Shares rather than purchasing, holding, and trading XRP directly.

Competition and Approval Prospects

Canary Capital's filing for an XRP ETF follows a similar application by crypto asset manager Bitwise filed with the SEC a week earlier. Nonetheless, hurdles remain due to ongoing SEC lawsuits concerning XRP's classification.

The filings by Canary Capital and Bitwise for the creation of the first-ever XRP exchange-traded fund mark a new chapter in investment opportunities for the cryptocurrency. Challenges, however, may arise from existing legal disputes over XRP’s classification.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Bitcoin's Long-Term Outlook Remains Encouraging

Bitcoin's established network and limited supply contribute to a positive long-term outlook despite recent declines.

user avatarGustavo Mendoza

Potential Recovery for Bitcoin Above Key Resistance Levels

Bitcoin could regain momentum if it surpasses critical resistance levels, with targets set at 81,300 and beyond.

user avatarMaria Fernandez

Gate Reports Impressive Cold Storage Coverage Ratio

Gate's cold storage coverage ratio reached an impressive 104.58%, ensuring all user assets are secure.

user avatarRajesh Kumar

Gate Launches Innovative Proof of Security Framework

Gate has launched a new asset security verification framework called Proof of Security (PoSEC), becoming the first digital asset trading platform to implement such a system.

user avatarMiguel Rodriguez

US DOJ Launches Task Force to Combat AI Misuse

The US Department of Justice has launched a task force to combat the misuse of advanced artificial intelligence, ensuring American leadership is not compromised by bad actors.

user avatarLuis Flores

Mercado Bitcoin Suffers Major Security Breach with $48 Million Stolen

Mercado Bitcoin has reported a significant security breach, with over $48 million in assets stolen across 11 blockchains. The breach occurred on November 2, 2023, challenging the exchange's claims of containment.

user avatarArif Mukhtar

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.