XRP News Today: 3x XRP ETFs Face Regulatory Delays Amid Government Shutdown Uncertainty

GraniteShares has submitted a filing with the U.S. Securities and Exchange Commission (SEC) to launch 3x leveraged exchange-traded funds (ETFs) based on XRP, the native token of the XRP Ledger. The proposed products include the GraniteShares 3x Long XRP Daily ETF and the GraniteShares 3x Short XRP Daily ETF, designed to track three times the daily performance of XRP's price movements, either in the same or inverse direction3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1]. If approved, the ETFs could begin trading as early as December 21, 2025, pending regulatory clearance. The filing is part of a broader expansion by GraniteShares, which also seeks to introduce similar 3x leveraged ETFs for Bitcoin, Ethereum, and Solana3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1].

The 3x leveraged structure significantly amplifies both gains and losses for investors. For instance, a 33.3% decline in XRP's price would result in a 100% loss for the 3x Long XRP ETF, while a 33.3% increase would erase the entire value of the 3x Short XRP ETF3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1]. These products are intended for short-term trading strategies, as daily resetting of leverage means they do not track long-term returns. GraniteShares has not disclosed fee structures or ticker symbols for the ETFs, but the SEC filing indicates a potential 75-day review period from October 7, 20253x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1].

The regulatory landscape for crypto ETFs has shifted with the SEC's adoption of the Generic Listing Standards framework in September 2025, which streamlines approvals for commodity-based ETFsSEC-CFTC Joint Staff Statement (Project Crypto-Crypto Sprint)^[2]. This change allows exchanges to list qualifying products without individual SEC reviews, accelerating the approval process. However, the ongoing U.S. government shutdown has delayed routine SEC operations, including decisions on multiple spot XRP ETF applications, such as those from Bitwise and Canary Capital3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1]. Analysts note that while the joint SEC-CFTC statement on September 2, 2025, clarified that registered exchanges can facilitate spot crypto trading, the shutdown has created uncertainty around timelinesA Regulatory Turning Point: What the SEC and CFTC’s Green Light Means for Spot Crypto Trading in the U.S.^[3].

The proposed 3x XRP ETFs align with growing demand for leveraged crypto products in the U.S. market. Teucrium's 2x Long Daily XRP ETF (XXRP), launched in April 2025, has already attracted $421.1 million in assets under management (AUM), demonstrating investor appetite for amplified exposure3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1]. GraniteShares' entry into the 3x leveraged space could intensify competition with existing providers like Volatility Shares and ProShares, which have also launched leveraged crypto ETFs. However, the higher risk profile of 3x products means they are suited for experienced traders, as volatility in XRP and other cryptocurrencies could lead to rapid value erosion3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1].

The regulatory environment remains a critical factor. The SEC and CFTC's joint statement emphasized that national securities exchanges and commodity markets are not prohibited from listing spot crypto products under current law, provided they comply with clearing, settlement, and surveillance requirementsA Regulatory Turning Point: What the SEC and CFTC’s Green Light Means for Spot Crypto Trading in the U.S.^[3]. This guidance supports GraniteShares' filing but does not eliminate the need for regulatory scrutiny. The SEC's recent adoption of the Generic Listing Standards has reduced bureaucratic hurdles, but the government shutdown has paused processing for most applications. Market participants are now focused on whether the shutdown will delay the December 2025 launch window3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1].

If approved, GraniteShares' 3x XRP ETFs would mark a significant milestone in the evolution of crypto derivatives in the U.S. The products reflect the broader trend of institutional and retail investors seeking speculative exposure to volatile assets. However, they also underscore the risks inherent in leveraged instruments, particularly in markets prone to rapid price swings. Analysts caution that while these ETFs could attract short-term capital, their long-term viability depends on sustained investor confidence and regulatory clarity3x XRP ETF Proposal by GraniteShares Targets December 2025 Launch^[1].