XRP is now available for a wider range of investors thanks to the conversion of Grayscale Digital Large Cap Fund into an exchange-traded fund (ETF) approved by the SEC.
XRP’s Legal Struggles
Since the SEC filed its lawsuit against Ripple Labs in December 2020, XRP has faced legal and regulatory hurdles that limited its availability on major U.S. platforms. The litigation cast a long shadow over the token’s reputation and accessibility. However, with this ETF approval, XRP is entering a new era, helping to reclaim its reputation in mainstream finance.
Grayscale ETF Composition
Grayscale’s ETF will track a diversified portfolio of top cryptocurrencies. Approximately 80% of the fund is allocated to Bitcoin, 11% to Ethereum, and about 4.8% to XRP alongside smaller portions of Solana and Cardano. For XRP, even a modest share in a regulated ETF marks a significant step forward, given its previously restricted status.
Market Prospects for XRP
This approval opens up new opportunities for more focused XRP-based investment products in the future. As demand grows, standalone XRP ETFs may emerge much like what happened with Bitcoin. Additionally, this move could accelerate similar approvals for other altcoins under a more crypto-friendly regulatory environment.
For long-time XRP holders, this milestone represents more than convenience; it is vindication. After enduring years of uncertainty, the token now stands alongside the industry’s biggest assets within a fund built for traditional investors.
