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SEC Acknowledges 21Shares Spot XRP ETF Filing

Coin WorldFriday, Feb 14, 2025 1:42 pm ET

1min read

The U.S. Securities and Exchange Commission (SEC) has acknowledged the filing for a spot XRP exchange-traded fund (ETF) by 21Shares. The ETF, which will track the price of XRP, the native cryptocurrency of the Ripple network, is expected to provide investors with a new way to gain exposure to the digital asset.

The SEC's acknowledgment of the filing is a significant step towards the potential approval of the ETF. However, it is important to note that the SEC has not yet made a final decision on the ETF's approval. The commission will review the filing and may request additional information or modifications before making a final determination.

The proposed ETF, which will be listed on the S&P 500, aims to provide investors with a convenient and cost-effective way to invest in XRP. The ETF will track the performance of the XRP/USD exchange rate, allowing investors to gain exposure to the cryptocurrency without having to hold it directly.

The filing of the 21Shares spot XRP ETF comes amidst a growing interest in cryptocurrency ETFs. In recent years, several ETF providers have launched or proposed ETFs that track the performance of various cryptocurrencies, including Bitcoin and Ethereum. These ETFs have gained popularity among investors seeking exposure to the cryptocurrency market without the risks associated with direct ownership.

The SEC's decision on the 21Shares spot XRP ETF will be closely watched by the cryptocurrency community. If approved, the ETF could provide a significant boost to XRP's liquidity and visibility, potentially attracting more institutional investors to the cryptocurrency. However, the SEC has been cautious in its approach to cryptocurrency ETFs, and it remains to be seen whether the commission will ultimately approve the 21Shares ETF.

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