Grayscale Seeks SEC Approval to Convert XRP Trust Into Spot ETF
Grayscale Investments has filed an application with the U.S. Securities and Exchange Commission (SEC) to convert its existing XRP Trust into a spot exchange-traded fund (ETF).
| Key Takeaways: – Grayscale Investments has applied to the SEC to convert its XRP Trust into a spot ETF, aiming for a listing on the NYSE. – The move follows rising demand for crypto ETFs, with firms like Bitwise and WisdomTree also filing for similar products. |
The move aligns with a broader industry trend, as asset managers increasingly seek regulatory approval for crypto-based ETFs. The recent success of Bitcoin and Ethereum ETFs has fueled interest in similar products for other digital assets.
Grayscale’s XRP Trust currently holds $16.1 million in assets, tracking the market value of XRP. The ETF’s shares, once listed, will be traded on the NYSE, with Coinbase Custody Trust Company acting as custodian and BNY Mellon Asset Servicing serving as the transfer agent.
To facilitate the transition, Grayscale has partnered with NYSE Arca to file a 19b-4 application, initiating the SEC’s regulatory review process. The commission will open a public comment period before issuing a final decision on the proposal. If approved, the fund will be listed on the New York Stock Exchange (NYSE).
The push for an XRP ETF comes amid growing institutional interest in cryptocurrency investments. Firms like Bitwise, CoinShares, WisdomTree, and Canary Capital have also filed for similar products, highlighting increasing demand. XRP trading volumes have surged, with decentralized exchange (DEX) swaps exceeding $1 billion for the first time since May 2024.
| Disclaimer: The information on this website is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are volatile, and investing involves risk. Always do your own research and consult a financial advisor. |
