XRP News Today: Flare ETF Navigates SEC Hurdles Amid DeFi Surge

Teucrium Trading LLC has filed for a Flare Network ETF with the U.S. Securities and Exchange Commission as FXRP minting on the platform surpassed $120 million, marking a significant milestone for the XRP-based decentralized finance (DeFi) ecosystem. The filing, confirmed by Flare co-founder Hugo Phillion via X, signals growing institutional interest in the platform and follows a similar precedent with Teucrium's previously approved leveraged XRP ETF, according to a Blockonomi report.

The Flare Network has emerged as the largest EVM-compatible DeFi ecosystem built around XRP, with total value locked (TVL) rising nearly 38% in over a month, according to Blockonomi. FXRP, a derivative token allowing users to collateralize XRP for ERC-20 tokens, has driven this growth. On-chain data shows the initial 5 million FXRP mint cap was exhausted within hours of launch, with the subsequent 15 million limit also filled rapidly, as Blockonomi reported. The FAssets system underpinning FXRP enables decentralized lending and liquidity access, while infrastructure tools like the Flare Time Series Oracle and Data Connector facilitate trustless bridging of non-smart contract assets, per Blockonomi.

Teucrium's ETF application aligns with broader momentum in XRP-based investment products. Bitwise and Canary Funds have also updated filings for XRP ETFs, with the latter potentially launching as early as November 13, 2025, pending SEC and Nasdaq approvals, according to a Coinpedia update. Analysts note that such products could mirror the success of Bitcoin and Ethereum ETFs, which have attracted billions in assets under management, according to a Coinotag article. For Flare, the ETF filing reflects a strategic push to integrate XRP into mainstream finance, leveraging its growing TVL and institutional adoption, Blockonomi noted.

However, challenges remain. The FLR token, Flare's native asset, has dropped 38% to $0.016 over the past month, lagging behind FXRP's adoption surge, per Blockonomi. Meanwhile, regulatory uncertainty persists. The SEC's historical scrutiny of XRP-related products, including its 2020 lawsuit against Ripple Labs, continues to cast a shadow, though recent court rulings have classified XRP as non-security in secondary markets, as Coinotag observed.

The Flare Network's infrastructure, including its Data Connector and Oracle, has been pivotal in enabling decentralized data feeds and cross-chain functionality, Blockonomi reported. These tools support FXRP's role as a bridge between XRP holders and DeFi protocols, with SparkDEX recently relaunching FXRP-based perpetual trading, according to Blockonomi. Industry experts view the ETF filing as a validation of Flare's ecosystem, which now hosts over 60% of FXRP usage in DeFi, per Blockonomi.

As the SEC reviews Teucrium's application, the broader crypto market remains volatile. XRP's price has traded near $0.50, with analysts suggesting that a successful ETF approval could drive institutional inflows and test key resistance levels, Coinotag noted. The Flare Network's progress, however, underscores a broader trend: DeFi platforms are increasingly capturing institutional capital by offering yield-generating alternatives to traditional assets, Blockonomi observed.