The U.S. Securities and Exchange Commission (SEC) has delayed its decision on the 21Shares XRP ETF application. This delay forms part of a broader assessment process concerning cryptocurrency ETFs.
SEC's Delay on XRP ETF Decision
SEC announced the need for further review of the XRP ETF by 21Shares. The decision-making process involves public feedback and in-depth market assessment, which is standard for regulatory bodies. As analyst James Seyffart noted, "delays on crypto ETFs are expected."
Market Reaction to the News
Following the announcement of the delay, XRP experienced a slight price dip of 0.20%, trading around $2.35. This modest reaction indicates that investors may have anticipated such an outcome. Despite the uncertainty, institutional interest in XRP continues to grow.
Regulatory History of XRP ETF
To date, the SEC has not approved any spot ETFs for altcoins other than Bitcoin and Ethereum. XRP, alongside Solana and Polkadot, is currently under evaluation. The previous delays involving Bitcoin and Ethereum are now viewed as standard practice for these applications.
The regulatory delays regarding the XRP ETF reflect the SEC's commitment to thorough evaluation. A final decision is expected later this year.
