Steven McClurg, co-founder of crypto asset manager Valkyrie, hinted at the possibility of the SEC approval of XRP exchange-traded funds (ETFs) following the launch of spot Bitcoin ETFs.
XRP ETF Applications Could Soon Reach SEC’s Desk
In a recent interview, Valkyrie co-founder and chief investment officer Steven McClurg discussed the likelihood of XRP ETFs.
Speaking to Bloomberg Crypto, McClurg said, “It wouldn’t surprise me if we saw Ripple or Ethereum spot ETFs out there” when asked whether the U.S. Securities and Exchange Commission’s (SEC) approval of Bitcoin ETFs could pave the way for similar offerings in the XRP and Ethereum markets.
McClurg’s prediction comes following the SEC’s greenlighting of Valkyrie’s spot Bitcoin ETF, with trading starting early Thursday:
Valkyrie already has a Bitcoin futures ETF listed on the Nasdaq exchange. The asset manager refiled for a spot BTC ETF in June 2023 with the ticker symbol “BRRR”. McClurg, however, is not sure Valkyrie will roll out XRP or ether ETF products in the future. “I really don’t know if we’re going to do that or not. I think those are more retail plays, and people have other ways to access them. But given that in this market, anything could happen, anything could happen,” he added.
Recent market developments buoy McClurg’s bullishness about ETH and XRP ETFs. He noted that investment giant Grayscale’s reinstatement of XRP to one of its publicly traded trusts signals increasing interest in diversified crypto investment products.
Moreover, Ripple’s partial legal victory against the SEC in July could embolden asset managers seeking to apply for an XRP ETF.
It’s pertinent to mention that not every pundit thinks XRP ETFs are likely to become a reality in the near future, even after SEC’s groundbreaking loss in the XRP lawsuit.
Bloomberg analyst James Seyffart said last August that he doesn’t think XRP “is ever going to get through the SEC’s doors, essentially not anytime soon.”
He highlighted a relatively tepid demand for an XRP-based ETF, which he believes would dampen the eagerness of ETF providers to list such a product.
XRP is currently trading for $0.60, up 5.70% in the past 24 hours, according to CoinGecko.