WisdomTree, managing over $113 billion in assets, takes its first step towards launching an XRP ETF by registering a fund in Delaware.
The Path to an XRP ETF
The Delaware registration is the initial phase, but not yet a formal application to the SEC. Financial journalist Eleanor Terrett indicated that WisdomTree is likely to file an S-1 to the SEC in the coming months. An XRP ETF would provide investors exposure to the cryptocurrency without the need for direct purchase or storage.
Ripple’s Legal Battle and Its Impact on ETFs
Ripple Labs is engaged in a prolonged legal battle with the SEC, which argues that XRP qualifies as a security. Though the court differentiated between institutional and retail sales of XRP, the SEC has appealed, leaving the issue unresolved. Possible resignation of SEC Chair Gary Gensler may influence SEC's stance on crypto assets, including XRP.
WisdomTree's Growing Crypto Portfolio
WisdomTree has established a strong presence in the crypto ETF market, launching Bitcoin and Ethereum ETFs in Europe. Recently, XRP reached $1.45 following news of potential SEC restructuring, signifying over a 30% increase within a week.
The launch of XRP ETF by WisdomTree may provide new opportunities for investors and reshape the regulatory landscape for crypto assets.
