Grayscale Seeks Spot XRP ETF Listing on NYSE
Grayscale Investments, a leading digital asset manager, has filed an application with the New York Stock Exchange (NYSE) to transition its existing XRP Trust into a spot exchange-traded fund (ETF). This move aims to provide investors with direct exposure to XRP without the need to hold the cryptocurrency itself. As of now, Grayscale manages $16.1 million in XRP assets, closely mirroring the market value of XRP.
The proposed ETF will offer investors an accessible and regulated way to trade XRP shares. If approved, the NYSE will list and trade the ETF shares, with Coinbase Custody Trust Company serving as the custodian and BNY Mellon Asset Servicing acting as the transfer agent. Grayscale has collaborated with NYSE Arca to file the required 19b-4 application, initiating the regulatory process with the Securities and Exchange Commission (SEC). The SEC will subsequently open a public comment period before making a final decision.
The Trust will continue to calculate the net asset value (NAV) daily, tracking XRP's market price. The NAV is computed by multiplying the current market price of XRP by its holdings, ensuring that the shares accurately reflect the true value of the cryptocurrency.
Grayscale's filing is part of a broader trend in the crypto space, with firms like Bitwise, CoinShares, WisdomTree, and Canary Capital also pursuing XRP-based ETFs. This signals that more institutions are embracing this investment tool. Additionally, XRP volumes on decentralized exchanges (DEXs) have surged, and swaps traded on the XRP Ledger DEX surpassed $1 billion for the first time since May 2024.
At the SEC, recent changes have been favorable for XRP ETFs. Mark Uyeda serves as the acting chairman of the commission, filling the position in Paul Atkins' absence until his confirmation. Ripple Labs President Monica Long expects the approval of an XRP ETF, citing the market's demand for crypto-based investment products, as evidenced by the success of Bitcoin and Ethereum ETFs from Grayscale.
The success of Grayscale's Bitcoin Trust and other ETFs has positioned the company as a leader in the crypto ETF space, allowing it to expand