XRP News Today: XRP ETF Approval Odds Rise to 85% as SEC Updates Crypto Rules and Legal Hurdles Clear

Generated by AI AgentCoin World
Thursday, Jul 31, 2025 11:24 pm ET1min read
Aime RobotAime Summary

- SEC likely to approve XRP ETFs by late 2025, with 85% approval odds cited by Bloomberg analyst.

- New SEC rules require six months of regulated futures trading, a threshold XRP has met.

- In-kind redemption mechanism and Ripple's legal progress with SEC reduce regulatory barriers.

- XRP ETF approval could follow Solana/Litecoin's path, boosting institutional crypto adoption.

- Regulatory clarity and market demand position XRP as a key liquid digital asset candidate.

The U.S. Securities and Exchange Commission (SEC) is expected to issue its decision on XRP-based exchange-traded fund (ETF) applications by September or October 2025, with the likelihood of approval now estimated at 85% by Bloomberg analyst Eric Balchunas. This forecast follows updated SEC rules for crypto ETPs that streamline eligibility criteria and reduce legal uncertainties for altcoin-based products [2]. The new standards require assets to have at least six months of continuous futures trading on regulated platforms, a threshold XRP has met, making it a strong candidate for regulatory approval [5].

A key development in the regulatory landscape is the adoption of in-kind redemption for crypto ETFs, which allows issuers to use actual cryptocurrencies rather than cash for share creation and redemption. This mechanism, already common in traditional asset ETFs, enhances market efficiency and reduces operational costs for providers. Analysts suggest it also improves liquidity and investor confidence in crypto ETF products [4].

Legal progress in Ripple’s long-running litigation with the SEC has also created favorable conditions for XRP ETFs. If the case concludes with a dismissal of appeals by the August 15 deadline, as suggested by former SEC attorney Marc Fagel, it could remove a major regulatory obstacle for XRP ETF proposals. Bitwise and Franklin Templeton, both of which have submitted XRP ETF applications, could see accelerated approval processes in the coming months [1].

Market observers anticipate that XRP ETF approval would follow a similar trajectory as recent altcoin ETFs, with Solana and Litecoin also in line for regulatory clearance by the end of 2025. Bloomberg Intelligence has assigned a 95% probability to the approval of these products by year-end [9]. The broader trend of institutional adoption in crypto suggests that a successful XRP ETF launch could further cement XRP’s status as one of the most liquid and mature digital assets available.

The convergence of updated SEC standards, legal clarity, and strong market fundamentals has created a more favorable environment for XRP ETFs. If authorized, the product is expected to expand access to XRP for a broader range of investors, including those who prefer indirect exposure to the cryptocurrency without holding it directly [5]. The outcome of these developments will be closely watched by both market participants and regulatory observers as the industry moves toward broader institutional integration.

Source:

[1] AInvest, [https://www.ainvest.com/news/xrp-news-today-xrp-etf-approval-odds-rise-sec-rule-legal-progress-2508/](https://www.ainvest.com/news/xrp-news-today-xrp-etf-approval-odds-rise-sec-rule-legal-progress-2508/)

[2] Mitrade, [https://www.mitrade.com/au/insights/news/live-news/article-3-1003023-20250801](https://www.mitrade.com/au/insights/news/live-news/article-3-1003023-20250801)

[4] NewsBTC, [https://www.newsbtc.com/altcoin/xrp-etf-approval-incoming-analyst-eyes-september-october-window/](https://www.newsbtc.com/altcoin/xrp-etf-approval-incoming-analyst-eyes-september-october-window/)

[5] dlnews.com, [https://www.dlnews.com/articles/markets/cboe-bids-to-fast-track-8-billion-xrp-etf-investment-boom/](https://www.dlnews.com/articles/markets/cboe-bids-to-fast-track-8-billion-xrp-etf-investment-boom/)

[9] MEXC, [https://www.mexc.com/zh-MY/news/sec-sets-new-crypto-etf-standards-dozen-major-tokens-could-qualify-by-october/63108](https://www.mexc.com/zh-MY/news/sec-sets-new-crypto-etf-standards-dozen-major-tokens-could-qualify-by-october/63108)

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