CBOE BZX Exchange has made a significant step toward the launch of spot XRP ETFs by submitting 19b-4 documents to the U.S. Securities and Exchange Commission (SEC). These filings could pave the way for the first spot XRP ETFs in the United States.
What is a 19b-4 Filing?
A 19b-4 filing is an official request to change a rule with the SEC, allowing companies to propose new investment products such as ETFs. In this case, the filings indicate the asset managers' intent to offer XRP-based ETFs, allowing investors to track XRP prices without directly purchasing the cryptocurrency.
The Four Asset Managers Involved
The four asset managers behind the filings have substantial experience in the ETF space and are aiming to introduce XRP ETFs:
* Bitwise: Known for its cryptocurrency funds, it was the first to submit an S-1 filing for its XRP ETF back in October. * 21Shares: A global leader in crypto-backed ETFs, submitted its application in November. * Canary Capital: Filed its application shortly after Bitwise. * WisdomTree: A significant player in the ETF market, filed its application in December.
The SEC’s Changing Approach
The SEC has historically been cautious about crypto ETFs, particularly for assets beyond Bitcoin and Ether. However, recent leadership changes suggest a shift in direction. Acting Chair Mark Uyeda and Hester Peirce, leading the new crypto task force, indicate a more favorable stance toward crypto ETF approval.
While the 19b-4 filings are a positive step, they do not guarantee approval. The SEC will review the filings and may invite public comments. The SEC's decision could significantly affect the future of both XRP and the broader cryptocurrency industry.
