The Ripple community is anticipating the launch of the first XRP ETF by Purpose Investments on June 18 in Canada. This historic event represents a significant step in the evolving cryptocurrency market.
ETF Launch and Features
The XRP ETF from Purpose is set to be available in three options: CAD-hedged (ticker XRPP), CAD non-hedged (ticker XRPP.B), and US dollar (ticker XRPP.U). Investors will only be eligible to hold these ETFs in their registered accounts, such as TFSAs and RRSPs.
Regulatory Environment in Canada and the US
The launch of the XRP ETF comes amid a supportive regulatory environment in Canada, which is actively developing rules around digital assets. In contrast, similar initiatives in the United States face challenges due to regulatory hurdles. XRP has been at the center of a legal dispute with the U.S. Securities and Exchange Commission (SEC) since 2020.
Outlook and Expectations for XRP ETFs
Expectations in the crypto community are tied to the potential influence of the Canadian ETF launch on U.S. regulators' decisions. Analysts suggest that the successful introduction of the XRP ETF in Canada could accelerate the approval process for similar products in the U.S., especially since none of the nine applications submitted have been approved. Results from Franklin Templeton regarding a similar application are also anticipated shortly, which could impact SEC's future actions.
The launch of the first XRP ETF in Canada underscores the progress in regulating crypto assets in the country and raises new expectations among U.S. investors. Positive outcomes related to XRP from the SEC could pave the way for new opportunities in the market.
