XRP News Today: SEC Extends Review of 21Shares XRP and Grayscale Dogecoin ETFs

The US Securities and Exchange Commission (SEC) has extended its review period for spot crypto ETF applications from 21Shares and Grayscale. The SEC has initiated formal proceedings to evaluate their XRP and Dogecoin investment products, respectively.

The SEC suspended the original May 21-22 decision deadlines to further examine whether the proposals meet Exchange Act Section 6(b)(5) requirements for preventing fraud and protecting investors.

The 21Shares Core XRP Trust plans to track the CME CF XRP-Dollar Reference Rate and use Coinbase Custody for storage. Grayscale’s Dogecoin Trust would follow CoinDesk’s Dogecoin Price Index. Both ETFs would issue shares in 10,000-share blocks.

Commenting on the XRP ETF delay, an ETF analyst said such delays are routine and expected.

This development comes as the SEC continues to scrutinize the cryptocurrency market, with a particular focus on ensuring that investment products meet regulatory standards. The extension of the review period for these ETFs underscores the SEC's commitment to thorough evaluation and investor protection.

The delay in decision-making on these ETFs is likely to have implications for the broader cryptocurrency market. Investors and industry participants will be closely watching the outcome of these evaluations, as they could set precedents for future crypto ETF applications.

The SEC's actions highlight the ongoing regulatory challenges faced by the cryptocurrency industry. As digital assets gain mainstream attention, regulatory bodies are increasingly focused on ensuring that these investments are safe and transparent for all participants.