XRP ETFs Lead with 10 Applications, Anticipating SEC Approval

An analyst from Kaiko has suggested that the spot XRP ETF will likely receive priority approval from the U.S. Securities and Exchange Commission (SEC) over other applied crypto ETFs. This prediction is based on several factors, including superior market liquidity and the recent launch of a 2x leverage product by Teucrium.

The anticipation of a crypto-friendly SEC chair, Paul S. Atkins, taking over from the industry-unfriendly Gary Gensler, who resigned last week after Senate confirmation, has led to a surge in crypto-related ETF applications. Several asset management firms, including Bitwise, Grayscale, and VanEck, have submitted more applications in recent months, with decision deadlines rapidly approaching.

According to Kaiko's data, XRP leads in active ETF applications with 10 applications, followed by Solana ETF with 5 applications, and Litecoin and Dogecoin with 3 applications each. XRP has the highest average altcoin 1% market depth on major centralized crypto exchanges, indicating a significant amount of buy and sell orders near the current market price. This helps to create a stable market environment, reduce slippage, and makes it one of the most liquid assets. The Kaiko analyst stated in Monday's report: "Highly liquid spot markets are crucial for creating efficient structured products, a fact that the previous SEC leadership was very sensitive to."