Bitwise Files for Spot XRP ETF Amid Ripple Vs. SEC Legal Tussle

On Sept. 30, Bitwise filed for a spot XRP exchange-traded fund (ETF) with Delaware’s Division of Corporations, with CSC Delaware Trust Company serving as its registered agent. The move follows the recent closure of the lawsuit between Ripple Labs and the U.S. Securities and Exchange Commission (SEC), in which the judge fined the former for conducting illegal XRP sales to institutional investors.

Bitwise Takes the Lead in the XRP ETF Race

Bitwise’s recent filing indicates their strong belief in XRP’s potential as an investment vehicle. Matthew Hougan, the Chief Investment Officer, confirmed the registration and mentioned that more details would be shared soon.

Despite the filing, XRP’s price has not yet reacted. However, previous ETF-related announcements for Bitcoin and Ethereum have shown that price surges often follow speculation about ETF approvals.

Other firms, including Grayscale, are reportedly exploring XRP-based products, suggesting Bitwise might not be the only player in this space. However, the SEC’s decision will likely be a key factor in shaping the future of XRP investment products.

Industry analyst Nate Geraci noted that Bitwise is a highly strategic company. He said Bitwise’s filing for an XRP ETF is strategic, and it might be in line with changes in regulations that may be in the pipeline soon, such as the November elections, which may affect ETF approval.

Ripple Settlement Could Open the Door for XRP ETFs

Ripple’s settlement with the SEC has fueled hopes for an XRP ETF approval. Earlier, the SEC gave the green light to Bitcoin and Ethereum ETFs from firms like BlackRock and Grayscale.

Ripple CEO Brad Garlinghouse recently called an XRP ETF “inevitable,” predicting approval by 2025. However, the SEC might still appeal Ripple’s legal outcome, potentially delaying any ETF approval. Bitwise’s filing reflects the growing belief that XRP ETFs are on the horizon, but the regulatory path remains unclear.

If approved, the Bitwise Spot XRP ETF could mark a new milestone for XRP’s institutional adoption. For now, the crypto community is waiting on the SEC’s next move.