Bitwise, a big name in managing cryptocurrency assets, has officially filed an XRP exchange-traded fund (ETF) in Delaware. This is a big step forward for the cryptocurrency market. The registration was made by Bitwise on September 30 and can now be seen on the website for the Delaware Division of Corporations. The listed agent is CSC Delaware Trust Company.
Even though this registration shows movement, it doesn’t mean that the application will be sent quickly to the US Securities and Exchange Commission (SEC). Files with the SEC can take a while, and this registration could be the first step in a longer process.
Ripple’s CEO, Brad Garlinghouse, said before that an XRP ETF is “inevitable” after the successful launches of Bitcoin and Ether ETFs in the U.S. This move comes after his comments. If accepted, an XRP ETF would give big buyers a safe way to invest in cryptocurrencies, which could make the market more liquid and increase its use.
There has been a lot of talk about an XRP ETF, especially since a fake file for a “BlackRock iShares XRP Trust” caused the price of XRP to rise by 12% in November 2023. After the false report, BlackRock turned down the application, which led Delaware officials to start a probe.
The new filing comes at a time when the SEC and Ripple Labs are still in court battles. In 2020, the SEC sued Ripple, saying that the company offered XRP as a security that wasn’t listed with the SEC. A big court decision in July 2023 said that XRP is not a security on public platforms. However, business sales may still be regulated by securities laws.
As both sides continue to deal with the court system, they have asked for a delay in the case’s final ruling while they wait to hear the SEC’s appeal. With this break, the court would be able to stop all further hearings until the case is over.
