In the wake of the groundbreaking approval of multiple spot Bitcoin ETFs by the United States Securities and Exchange Commission (SEC), the crypto community is buzzing with anticipation, speculating that a spot XRP ETF might soon join the ranks of regulatory approval.
After what seemed like an interminable wait, the SEC finally gave the nod to spot Bitcoin ETFs on Wednesday, marking a historic moment for the crypto space and opening up new possibilities for other single-asset crypto ETFs to make their debut in the market.
Notably, the notion of a potential spot XRP ETF gained traction when a fake ETF filing connected to BlackRock last year briefly tricked enthusiasts. Although the filing was eventually revealed as a hoax, the XRP ETF concept captured supporters’ imagination.
On Wednesday, Steve McClurg, Chief Investment Officer at Valkyrie, fueled the flames of hope for a spot XRP ETF and hinted at a similar possibility for Ethereum. In a Bloomberg interview, McClurg expressed optimism about the future, saying, “I think we’re going to see a lot of filings come out for Ethereum. I even think we might see something for Ripple given the recent progress.”
In the XRP community, there is also a prevailing sense of optimism regarding the imminent introduction of an XRP ETF. Panos Mekras, a well-known crypto author and co-founder of Anodos Finance, expressed this sentiment in a tweet, affirming that “An XRP ETF is only a matter of time.”
Similarly, Zach Rector, a notable pro-XRP crypto YouTuber, argued that an XRP ETF is inevitable and clarified that its approval doesn’t imply the classification of XRP as a security. Elsewhere, Chad Steingraber, a prominent XRP enthusiast, noted that the spot ETF approval “will only drive more demand for more ETF launches like XRP.”
It is noteworthy that just last week, Grayscale Investments issued an official statement confirming the re-inclusion of XRP as a component asset in its Grayscale Digital Large Cap (GDLC) Fund, further bolstering the positive outlook within the XRP community.
However, some community members believe introducing an XRP ETF may be delayed until a complete SEC vs. Ripple case settlement. Ripple’s XRP sales to institutions remain a contentious issue in U.S. courts, with the settlement expected to be reached in April.
Skeptics further contend that non-Bitcoin-related ETFs could encounter obstacles under the SEC’s current leadership, possibly necessitating Congressional intervention to secure approval.
That said, as a litmus test for regulatory trust and maturity within the crypto ecosystem, some applicants with approved spot Bitcoin ETFs like Blackrock, Fidelity and Grayscale have filed applications for spot Ethereum ETFs. This move will undoubtedly serve as an indicator of whether the industry has truly entered a new era of acceptance for more cryptocurrency ETFs.