Big names in the investment world just tweaked their requests for a new type of crypto fund, stirring up quite a buzz. Six major asset managers — Grayscale, Bitwise, Canary, CoinShares, Franklin, 21Shares, and WisdomTree — all filed updated paperwork with the U.S. Securities and Exchange Commission (SEC) for spot XRP Exchange Traded Funds (ETFs). This move, while part of the usual dance with regulators, is fueling hopes that these products could hit the American market sooner rather than later.
These filings aren’t just minor updates. They show a deliberate effort by these firms to iron out any kinks and meet the SEC’s demands head-on. The updates are widely seen as a response to comments from the U.S. securities watchdog. Investors quickly took notice, sending XRP’s price up 7% following the wave of simultaneous submissions, also boosted by broader market expectations for the Federal Reserve to adjust interest rates.
These investment giants sent their revised applications to the SEC, hoping for a green light in the coming weeks. As reported by The Block, these adjustments are a common step. Yet, doing them all at once suggests the firms are trying to stay ahead of regulatory needs and offer more flexible fund designs.
Changes in Fund Structure
The updated proposals include some important tweaks. They now allow for shares to be created using either XRP or cash. Also, settlements can happen with fiat money or in kind, meaning they aren’t just limited to U.S. dollar transactions. This kind of structural change tells us that these managers are listening carefully to what the regulator wants. They are working to make their funds more appealing and versatile for future investors.
James Seyffart, an ETF analyst for Bloomberg, took to X (formerly Twitter) to share his thoughts. He noted that these changes were “almost certainly” a direct result of feedback from the regulator. Seyffart called it a good sign. However, he also pointed out that this kind of back-and-forth is pretty normal during the negotiation process between the financial industry and the supervising authority.
BlackRock’s Absence and XRP’s Future
One detail that caught many eyes was BlackRock’s absence from this group of filers. BlackRock manages the biggest spot Bitcoin and Ethereum ETFs worldwide. Yet, weeks ago, the company stated it had no immediate plans to launch a product based on XRP. This decision stands out, especially when other asset managers are pushing hard for their XRP offerings. It makes you wonder about BlackRock’s unique strategy as the world’s largest asset manager.
The fact that so many companies updated their applications at the same time marks a significant moment for XRP’s journey through regulation. While the SEC still has the final say on approvals, these recent actions suggest the market is getting ready. It seems likely that products tied to the XRP token could launch in the short or medium term.
On the market side, XRP reacted strongly. On Friday, the digital currency saw its price jump by 7%, reaching $3.02 at the time of this article’s writing. This surge is part of a wider rally in the cryptocurrency market. It’s especially driven by hopes that U.S. interest rates might be cut soon.
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