Grayscale Pushes for XRP ETF Amid SEC Delays

YEREVAN (CoinChapter.com) —  Grayscale has submitted a 19b-4 application to the U.S. Securities and Exchange Commission (SEC) to convert its XRP Trust into an XRP ETF. The firm continues to expand its lineup of crypto investment products.

The SEC has been slow to approve altcoin ETFs, citing internal restructuring and leadership transitions. Several other companies, including WisdomTree, 21Shares, Canary Capital, and Bitwise, also have XRP ETF applications awaiting review.

Grayscale Expands Crypto ETF Offerings

Grayscale is known for managing the third-largest Bitcoin ETF. Over the past few months, it introduced a Mini Bitcoin ETF and launched options trading. Earlier today, the firm also unveiled a Bitcoin Miner ETF.

With this new filing, Grayscale seeks to list an XRP ETF. The Grayscale XRP Trust currently holds $16 million in assets, positioning it as a candidate for conversion into an exchange-traded fund.

XRP ETF Faces Regulatory Hurdles

Ripple CEO Brad Garlinghouse has described an XRP ETF approval as inevitable. Polymarket data shows strong expectations for approval, but the SEC vs. Ripple lawsuit remains unresolved. The SEC recently removed the case from its website, but the legal process is still ongoing.

Crypto lawyer Jake Chervinsky commented on the situation:

“The single most important thing the SEC can do, and must do, to restore the rule of law is end its enforcement actions against crypto companies that acted in good faith and were ambushed by Gary Gensler. So far, the SEC has taken no public steps to right these wrongs. Why wait?”

SEC’s Leadership and Staffing Issues Could Delay Decision

Since Gary Gensler’s resignation, the SEC has seen a wave of ETF applications. The agency took its first steps toward a Litecoin ETF, but other altcoin ETFs, including XRP ETFs, remain in review.

ETF analyst James Seyffart noted:

“The SEC doesn’t have much of a reason to rush as quickly as possible on this stuff. I personally think they should handle these situations after Atkins is confirmed and in his seat at the SEC.”

With staffing shortages at the SEC, decisions on XRP ETFs could face delays. While demand for an XRP ETF is growing, Grayscale’s application may not be processed immediately.

For now, XRP’s price has remained stable, showing minimal movement following the filing. Currently, XRP is trading at $3.09493 with a 0.22%  increase. XRP’s Relative Strength Index (RSI) stands at 42.71, suggesting that the asset is neither overbought nor oversold.

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