U.S. market anticipation for spot XRP exchange-traded funds intensified after five such products appeared on a key securities clearinghouse system, triggering a sharp rally in the digital asset’s price.
The Depository Trust and Clearing Corporation (DTCC), the main U.S. depositary and clearinghouse for securities, listed proposals from five prominent issuers. These include Bitwise, Franklin Templeton, 21Shares, Canary Capital, and CoinShares.
The listings are categorized as “asset and pre-launch,” suggesting a possible debut on Wall Street before the end of November. Steven McClurg, CEO of Canary Capital, stated his firm is “fully prepared” to launch its XRP ETF “next week.” Nate Geraci, president of NovaDius Wealth Management, also expressed expectations for a debut of the first XRP ETFs “in the coming week.”
Following the news, XRP’s price surged by 12.5%, climbing to $2.57. The digital coin broke above its $2.35 resistance level, with a 24-hour trading volume reaching $5.3 billion, 169% higher than its average.
Bloomberg ETF analyst Eric Balchunas noted that most tickers entering the DTCC system typically proceed to launch. This administrative step is crucial for funds seeking authorization, although it does not constitute automatic approval from the U.S. Securities and Exchange Commission (SEC).
The SEC recently implemented generic listing standards for exchange-traded products. These allow for faster reviews through amendments to S-1 forms. Coordinated amendments could lead to automatic approval if the SEC raises no objections, mirroring recent developments with Litecoin, Solana, and Hedera ETFs.
If approved, the XRP funds could become effective in mid-to-late November. This timeline assumes a resolution to the recent federal government budget paralysis, which had limited regulatory reviews.
Earlier reports from Grayscale and Bitwise regarding their fund fees had already indicated institutional interest in direct XRP exposure. A successful launch could inject significant liquidity into the cryptocurrency market and validate the growing role of altcoins in regulated investment products. The listing is largely seen as a bullish signal for XRP’s performance in the fourth quarter.