Grayscale Investments has officially filed to convert its Grayscale XRP Trust into a spot ETF on the New York Stock Exchange (NYSE).
Transition to a Regulated Investment Fund
If approved, the trust—currently holding $16.1 million in assets—will transition into a fully regulated investment vehicle for XRP. This move is part of Grayscale's broader strategy to bring more crypto-based ETFs to market, following recent applications for Litecoin and Solana ETFs. Key aspects of the proposed XRP ETF include asset custody by Coinbase Custody Trust, serving as the fund's custodian, and the appointment of BNY Mellon Asset Servicing as the transfer agent.
A Changing Regulatory Landscape
Grayscale's filing comes at a time of significant change within the U.S. Securities and Exchange Commission (SEC). The recent departure of former SEC Chair Gary Gensler and the appointment of crypto-friendly figures have sparked optimism about regulatory shifts. The SEC has previously approved spot Bitcoin and Ethereum ETFs, paving the way for XRP and other cryptocurrencies.
The Growing Race for Crypto ETFs
Grayscale is not alone in its efforts to expand the crypto ETF market. CoinShares, Bitwise, ProShares, WisdomTree, and REX Shares have all submitted filings for XRP-based ETFs, signaling strong institutional interest in the token.
Grayscale continues to push its cryptocurrency initiatives forward. The application for an XRP ETF could further cement cryptocurrencies on traditional financial markets.
