It appears an XRP Exchange Traded Fund (ETF) is finally coming to the US market. After years of legal struggles and the recent approval of Bitcoin and Ethereum ETFs, the odds for XRP now seem greater than ever. A series of formal steps by major asset managers is fuelling the expectation that a spot ETF for XRP could become a reality sooner than many thought.

What exactly is going on?

An important precursor to a potential launch is the recent appearance of five XRP funds on the website of the Depository Trust and Clearing Corporation (DTCC) in the "active and pre-launch" category.

The DTCC is the central party for the settlement and registration of securities in the United States. It is often regarded as the last stop before an actual stock exchange listing. Although a listing on the DTCC register is not official approval from the US Securities and Exchange Commission (SEC), analysts certainly see it as a crucial signal that the launch is imminent. Among the names appearing on the DTCC list are well-known players from the financial world and the crypto industry, such as: Bitwise, Franklin Templeton (with the ticker XRPZ), 21Shares, Canary Capital, and CoinShares.

Pressure mounts on the SEC: the clock is ticking

In addition to the DTCC listing, crucial formal steps have been taken that increase the pressure on the US regulator (SEC).

21Shares: The Swiss asset manager has submitted an official application (Form 8-A) to the SEC to establish a spot ETF on XRP. From the date of submission, the SEC has twenty days to object. If they remain silent? Then the fund is automatically allowed to go live.

Canary Capital: This company recently amended its ETF application by deleting a delay clause. Here too, if the SEC does not object, the fund is allowed to go live. According to some journalists, this could happen as early as 13 November. CEO Steven McClurg has already indicated that his company is "fully prepared to launch next week". Nate Geraci, President of NovaDius Wealth Management, even expects that "the first line of spot XRP ETFs could debut next week". It is anticipated that some funds could already come into effect halfway through or towards the end of November.

XRP follows the success of other altcoin ETFs

The ambitions for an XRP ETF are not isolated. It follows a trend where spot ETFs have already been introduced for other altcoins in recent months. Following the successful launch of the Bitcoin and Ethereum ETFs, the race to launch similar funds for other major altcoins is in full swing. In the past period, we have already seen spot ETFs appear for Solana (SOL), Litecoin (LTC), and Hedera Hashgraph (HBAR), among others.

The Solana ETFs were particularly impressive. Despite recent corrections, a staggering $336 million flowed into these funds, with the majority going to the Bitwise Solana ETF. This demonstrates that the market is clearly ready for more crypto investment products besides Bitcoin and Ethereum.

What does this mean for XRP?

Although official approval from the SEC is still pending, all indications – from the DTCC registration to the formal applications with tight deadlines – suggest that the launch of an XRP ETF is very close. The arrival of an ETF is generally seen as positive for the price of a cryptocurrency, as it makes the token accessible to a much broader group of traditional investors.

Disclaimer: This is not financial advice. Always consider consulting your own research and professional advice before investing.