The U.S. Securities and Exchange Commission (SEC) continues to review applications for a spot XRP ETF, delaying a decision until 2025. This move could significantly impact the cryptocurrency market.
Duration of SEC Application Review
The SEC has extended its review period for spot XRP ETF applications to September or October 2025. Major applicants include Franklin Templeton and ProShares, whose requests remain under scrutiny. SEC Commissioner Hester Peirce highlighted the need for further research.
Impact on Investors and Cryptocurrency Market
The expected delay will negatively affect market liquidity and investor interest in the proposed products. Currently, the only approved XRP investment vehicle in the U.S. is the ProShares Ultra XRP ETF, which offers leveraged exposure.
Future ETF Prospects and Latest News
Bloomberg analysts estimate a 95% probability of eventual approval, but this depends on SEC guidelines and judicial clearances. Hester Peirce stated, 'Review period extensions are not rejections.' Canadian markets already offer spot XRP ETFs, which may influence trading volumes in the U.S.
The delay in the ETF XRP decision highlights the importance of regulatory oversight in the cryptocurrency space and may signal the need for new legal interventions in the future.
