XRP News Today: Crenshaw's XRP ETF Rejection Sparks Regulatory Uncertainty in Crypto Market

Caroline Crenshaw, a commissioner of the U.S. Securities and Exchange Commission (SEC), has once again cast a solitary "no" vote on the proposed XRP exchange-traded fund (ETF), adding to a pattern of opposition to crypto-related ETFs. This move has generated significant buzz in the crypto community, with many questioning whether her stance is grounded in regulatory prudence or reflects a more personal bias against the asset class [1].

Crenshaw has consistently opposed the approval of cryptocurrency ETFs, voting "no" on all 13 crypto ETF-related decisions that have come before the SEC—covering Bitcoin, Ethereum, in-kind redemption structures, and now XRP. She remains the only commissioner to do so, raising concerns among industry observers and investors alike [1]. Despite XRP meeting all technical requirements, including a six-month derivatives history, Crenshaw’s latest rejection has shaken confidence in the token’s path to ETF approval [1].

The XRP ETF proposal had gained momentum following the July listing of ProShares’ Ultra XRP ETF (UXRP) on NYSE Arca. Market sentiment had shifted accordingly, with platforms like Polymarket previously reflecting a 90% probability of XRP ETF approval. However, Crenshaw’s dissent has caused those odds to drop to around 65%, introducing new uncertainty into the market [1].

Crenshaw’s skepticism extends beyond XRP. She has also voiced concerns over liquid staking and USD-pegged stablecoins, arguing that current regulations lack legal clarity and could weaken investor protections. Her criticism of the SEC’s settlement with Ripple further underscores her tough stance, as she described the agreement as insufficient in holding crypto actors accountable [1].

In a public address in May, Crenshaw expressed frustration with the SEC’s inconsistent treatment of crypto assets, warning that the agency was playing a dangerous game of "regulatory Jenga," potentially dismantling long-standing investor protections and increasing market risk. Her comments reflect a broader tension within the SEC over the classification and oversight of digital assets [1].

While Crenshaw maintains that her position is rooted in investor safety and procedural integrity, many in the crypto community are beginning to view her repeated "no" votes as ideological rather than policy-based. Commentators like Xaif have suggested that her actions increasingly resemble a personal vendetta rather than objective regulatory oversight [1].

As the SEC continues to grapple with the complexities of digital assets, Crenshaw’s opposition remains a significant hurdle for XRP and the broader crypto industry. Her influence is reshaping market expectations and underscoring the challenges of achieving regulatory acceptance in an evolving financial landscape [1].

Source: [1] SEC’s Crenshaw Says No to XRP ETF (https://timestabloid.com/secs-crenshaw-says-no-to-xrp-etf/)