- Amidst speculation of an imminent approval of Bitcoin spot ETF, experts are questioning the failure of an XRP spot ETF application.
- Some institutional investors have been accused of suppressing XRP prices following the legal victory against the SEC.
The recent crypto bull run has been attributed to the great optimism around the approval of a Bitcoin spot ETF. Although this has been in the works for the last couple of years, in recent months, the entry of global financial leaders such as BlackRock has fueled speculation. Statistically, this looks certain with BlackRock enjoying a 99.8 percent success rate in its ETF applications.
ETF experts are confident that the U.S. Securities and Exchange Commission (SEC) will approve the first Bitcoin spot ETF over the coming weeks or months. Additionally, analysts are confident the SEC will approve multiple ETFs simultaneously. Other major financial institutions involved with an ETF application include Grayscale, Fidelity, and VanEck.
BlackRock has in recent weeks shown interest in altcoins with the application of an Ethereum spot ETF. Initially, the the world’s largest asset management company with over $9 trillion in assets, had not any interest in other cryptocurrencies but now it is clear that it is looking beyond Bitcoin.
BlackRock is not the first company to file for an Ethereum spot ETF with ARK Invest and 21Shares filling for an Ether ETF early in September. It is assumed that a Bitcoin spot ETF will be approved first before another cryptocurrency can enjoy the same benefits.
When is XRP Spot ETF?
In the wake of growing interest, some experts are beginning to question the lack of an XRP spot ETF. Dizer Capital Founder, Yassin Mobarak, highlighted this issue on the X platform (formerly Twitter). In a recent post, the founder noted that he found it ‘peculiar’ that there was no spot application for the only cryptocurrency that has legal clarity.
Many applications for BTC spot ETF and now there's a new ETH spot ETF application.
I find it peculiar that there's no spot ETF application for the only crypto with actual legal clarity. That crypto is $XRP. https://t.co/QeZDP3jl7J
— Yassin Mobarak 🪝 (@Dizer_YM) November 11, 2023
The commentator drew his comments from the fact that Judge Torres ruled that XRP is not a security a few months ago. In the past, the SEC has stated that only Bitcoin (BTC) can be ruled out as not a security with all other digital tokens subject to review.
After going after Ripple for the issuance of the XRP tokens, Ripple emerged with a win, granting XRP legal status as not a security. This makes it the only token to have this status by law. With this in mind, many in the XRP community are questioning why financial giants are not taking advantage of the outcome to launch a spot ETF.
It is important to note that the court’s ruling only offered a partial victory and the case is still ongoing. Nevertheless, there has been speculation of a possible settlement between the parties.
As CNF recently reported, there are rumors that BlackRock and JPMorgan are quietly accumulating XRP before filing for a spot ETF. There have further been accusations that some institutional investors have been suppressing XRP prices to keep stacking before the bull run.
