XRP ETFs Listed on DTCC as SEC Resumes Reviews Post-Reopening

• XRP ETFs from major issuers are now listed on DTCC, signaling potential approval within weeks.

• SEC resumes ETF reviews after government reopening, clearing delays that paused XRP fund evaluations.

• Five spot XRP ETFs could launch soon, expanding XRP’s presence across regulated investment markets, with existing leveraged funds already managing over $100 million in assets.

Discover how XRP ETFs from Franklin Templeton and others listed on DTCC signal imminent approvals. Explore SEC review resumption post-government reopening and what it means for crypto investors today.

What Are the Latest Developments for XRP ETFs?

XRP ETFs from prominent financial issuers have reached a significant milestone by being listed on the Depository Trust & Clearing Corporation (DTCC) platform. This step typically precedes final approvals and trading launches, as it facilitates the setup of necessary trading and settlement systems. As of recent updates, the U.S. Securities and Exchange Commission (SEC) has resumed its review processes following the end of a government shutdown, paving the way for these spot XRP funds to potentially enter the market soon.

The DTCC, a critical infrastructure provider for the U.S. financial markets, handles the clearing and settlement of securities transactions. Its listing of these ETF products indicates that issuers are in the advanced stages of compliance and operational readiness. This development aligns with broader efforts to integrate digital assets like XRP, the native token of the Ripple network, into traditional investment vehicles accessible to institutional and retail investors alike.

How Does the DTCC Listing Impact XRP ETF Approvals?

The DTCC listing for XRP ETFs represents a procedural advancement that often correlates with impending regulatory green lights. According to data from the DTCC, the funds involved include the Franklin XRP Trust (ticker: XRPZ), 21Shares XRP ETF (TOXR), Bitwise XRP ETF (XRP), Canary Capital XRP ETF (XRPC), and CoinShares XRP ETF (XRPL). These listings enable the issuers to prepare for the backend logistics of trading, such as share creation and redemption processes.

Market observers, including Bloomberg ETF analyst James Seyffart, have noted that such listings are a standard precursor to launch. Seyffart explained that amendments to S-1 filings, like the one recently submitted by Franklin Templeton, allow for automatic effectiveness once all regulatory conditions are met. For instance, Franklin Templeton updated its filing to outline a launch timeline targeting the end of the current month, while Bitwise has also filed its final amendments. Canary Capital has removed a delaying amendment, positioning its fund for activation pending Nasdaq’s 8-A filing. This momentum suggests that CoinShares and 21Shares may soon follow suit, potentially resulting in multiple XRP ETF debuts.

Supporting data from existing XRP-related products underscores the demand. Leveraged funds such as the Teucrium 2x Long Daily XRP ETF (XXRP) and Rex-Osprey XRP ETF (XRPR) have attracted substantial inflows, with XRPR alone overseeing more than $100 million in assets under management. These figures highlight investor appetite for XRP exposure through regulated structures, which spot ETFs would further amplify by providing direct, unleveraged access to the asset’s price movements.

Beyond the technical listings, the broader context of XRP’s regulatory journey adds depth. XRP has navigated legal challenges, including a resolved case between Ripple Labs and the SEC, which clarified its status as a non-security in secondary markets. This resolution has bolstered confidence among issuers pursuing ETF products. Authoritative sources like the SEC’s own filings database confirm the ongoing amendments, demonstrating the structured, transparent nature of the approval process.

From an investment perspective, spot XRP ETFs would democratize access to the cryptocurrency, which is primarily used for cross-border payments via the XRP Ledger. With transaction speeds averaging three to five seconds and low fees, XRP’s utility in financial applications makes it a compelling candidate for ETF inclusion. Analysts from firms like Bloomberg Intelligence have projected that crypto ETFs, including those for XRP, could attract billions in inflows, mirroring the success of Bitcoin and Ethereum spot funds that have amassed over $50 billion since their launches.

Frequently Asked Questions

What Does It Mean for XRP ETFs to Be Listed on the DTCC?

Listing on the DTCC means that XRP ETF issuers have advanced to the stage where trading and settlement infrastructures are being established. This is a key indicator that SEC approvals are nearing, as it prepares the funds for operational launch without further delays in backend systems. Expect timelines of weeks rather than months, based on historical ETF precedents.

When Will the SEC Approve XRP ETFs Following the Government Reopening?

The SEC’s resumption of reviews after the U.S. government’s reopening removes a major hurdle, allowing pending XRP ETF applications to progress. While exact dates depend on final filings and market conditions, experts anticipate approvals within the next few weeks, enabling launches that could coincide with heightened investor interest in digital assets.

XRP, developed by Ripple, operates on a decentralized blockchain designed for efficient global transactions. Its integration into ETFs would align with the growing institutional adoption of cryptocurrencies, where assets like XRP offer unique value in payment solutions. Regulatory clarity post the Ripple-SEC lawsuit has been pivotal, affirming XRP’s commodity-like status in many contexts.

Delving deeper into the issuers, Franklin Templeton, a veteran asset manager with over $1.5 trillion in assets, brings credibility to its XRP Trust. Similarly, Bitwise, known for its crypto index funds, and 21Shares, a leader in European crypto ETPs, enhance the field’s legitimacy. Canary Capital and CoinShares add specialized expertise in alternative investments, ensuring robust product design.

The government shutdown’s end, via a bipartisan Senate funding bill, restores normalcy to federal operations. The SEC, tasked with protecting investors and maintaining fair markets, had halted new reviews, affecting not just XRP but various ETF categories. Now, with full staffing, the agency can address the backlog efficiently.

Investor implications are profound. Spot XRP ETFs would provide a straightforward way to gain exposure without direct custody of the asset, mitigating risks like wallet security. This could drive XRP’s market capitalization higher, currently hovering around key support levels, and foster innovation in blockchain-based finance.

Historical parallels with Bitcoin ETFs illustrate the potential. After SEC approvals in early 2024, Bitcoin spot funds saw rapid inflows exceeding $10 billion in months. For XRP, similar dynamics could unfold, especially given its established use cases in remittances and banking partnerships worldwide.

Key Takeaways

• DTCC Listings Advance XRP ETFs: Funds from five major issuers are now prepared for trading, a step that historically precedes SEC nods and market debuts.
• Government Reopening Clears Path: The SEC’s return to full operations eliminates delays, accelerating reviews for spot XRP products amid strong investor demand evidenced by leveraged fund success.
• Broad Market Expansion Looms: Approval of these ETFs would integrate XRP into mainstream finance, potentially attracting institutional capital and enhancing its role in global payments.

Conclusion

The listing of XRP ETFs on the DTCC platform by issuers like Franklin Templeton and Bitwise marks a pivotal moment in the asset’s journey toward mainstream adoption. With the SEC resuming reviews post-government reopening, the outlook for spot XRP funds has strengthened considerably, offering investors regulated access to this efficient blockchain token. As the crypto landscape evolves, staying informed on these developments will be essential for capitalizing on emerging opportunities in digital assets.