XRP News Today: SEC to Decide on Staking ETF Before XRP Options

The U.S. Securities and Exchange Commission (SEC) is expected to make a key decision in the coming months that could determine which crypto asset receives the next ETF approval. While the market has been fixated on the possibility of a spot XRP ETF, Nate Geraci, a prominent ETF expert, has suggested that staking in a spot Ethereum ETF could be the next product to receive regulatory approval [1]. This would mark a significant step forward for crypto asset integration into the traditional financial system and could precede XRP ETFs.

BlackRock’s iShares Ethereum Trust ETF (ETHA) has submitted a proposal to allow staking of its Ethereum holdings via trusted providers, which would enable the fund to earn yield by participating in Ethereum’s network validation process [1]. Although the SEC has not yet ruled on whether staking through ETFs constitutes a securities violation, the inclusion of this feature in the filing reflects growing regulatory interest in expanding the functionality of crypto ETFs [1].

Geraci has noted that staking is the final item on his November checklist for regulatory developments. If approved, the ETHA could receive approval "sooner rather than later," potentially before any new spot ETFs, including those based on XRP, are cleared [1]. The SEC has already taken steps toward mainstreaming crypto by approving in-kind creation and redemption for existing Bitcoin and Ethereum ETFs, indicating a more open regulatory stance [1].

While XRP remains a popular choice for a new ETF, the legal uncertainty surrounding its regulatory status continues to complicate its path to approval. Ripple’s legal battle with the SEC has recently seen some favorable developments, but a final resolution is still pending. In the meantime, firms like Teucrium, ProShares, and Bitwise are preparing XRP-based products, with some aiming to launch leveraged versions [2]. These efforts mirror the trajectory of Bitcoin ETFs, where futures-based products initially paved the way for spot offerings.

The recent addition of XRP support by PayPal has been cited as another positive development, reinforcing investor confidence in the asset [1]. Ripple’s supporters also point to a growing number of ETF applications for XRP and other altcoins, suggesting that the regulatory environment is gradually shifting in a more favorable direction [3].

Despite the anticipation, the SEC has not provided a clear timeline for its decisions. It recently delayed a filing, adding to the uncertainty. Market predictions vary widely—some analysts suggest an 88% probability that a spot XRP ETF will receive approval by year-end [4], while others forecast a 333% price increase in XRP if the ETF is approved [5]. These forecasts, however, remain speculative and should not be mistaken for regulatory certainty.

If Geraci’s prediction materializes and the SEC approves staking for Ethereum ETFs first, it could delay XRP ETFs by several weeks or even months. This would mean that XRP investors must remain patient, as the regulatory path for altcoin ETFs is still evolving. However, the broader implications of any new crypto ETF approval could be substantial, potentially triggering increased institutional and retail demand and reshaping the market landscape for XRP and other digital assets.

Source:

[1] https://zycrypto.com/spot-xrp-etfs-coming-up-next-top-expert-predicts-what-might-win-sec-approval-first/

[2] https://coincentral.com/5-best-cryptos-to-buy-now-for-moonshot-returns-by-december-xrps-target-is-6-should-you-load-up-now/

[3] https://nftevening.com/xrp-etfs/

[4] https://www.aol.com/prediction-xrp-worth-much-5-111000968.html

[5] https://economictimes.indiatimes.com/topic/xrp-etf-approval-news