Crypto investment firm Canary Capital has filed an application with the SEC for a spot XRP ETF, marking the second such filing in recent weeks. This move reflects the growing interest in expanding regulated investment options beyond Bitcoin and Ethereum.
Demand for Access to XRP Market Grows
The proposed ETF would give investors exposure to XRP through traditional brokerage accounts, removing the need to directly hold the digital asset. According to Canary Capital’s Steven McClurg, demand for more sophisticated crypto investment options is rising, especially for assets with enterprise use cases like XRP.
Navigating Regulatory Challenges
If approved, the Canary XRP ETF would offer a significant new option for U.S. investors. The SEC has yet to approve a spot XRP ETF, as the asset remains the subject of ongoing litigation between the SEC and Ripple. Despite this, Canary Capital sees positive regulatory developments that indicate greater support for digital asset investment products.
A Broader Range of Crypto ETFs on the Horizon
The application follows Bitwise’s recent filing for an XRP ETF and signals a potential shift in the SEC’s approach to cryptocurrency. While ETFs for other digital assets are still in early stages, Canary’s move could pave the way for more spot crypto ETFs if the SEC adopts a more open stance.
Source: The Block
