XRP Joins Top ETF Approval Tier
XRP Joins Solana and Litecoin in Top ETF Approval Tier
XRP has joined Litecoin and Solana in the top tier of cryptocurrency ETF approval prospects. Bloomberg ETF analysts James Seyffart and Eric Balchunas now estimate a 95% chance of SEC approval for a spot ETF tied to XRP, the fourth-largest cryptocurrency by market capitalization.
Key Takeaways
- Bloomberg analysts raised the approval odds for spot crypto ETFs including XRP, Solana, and Litecoin to 90% or higher.
- Positive engagement signals from the SEC suggest approval for multiple new spot crypto ETFs beyond Bitcoin and Ethereum.
This significant increase in approval odds, up from a previous 85% likelihood, is attributed to increased communication between ETF issuers and the SEC. Seyffart and Balchunas have raised their approval odds for a wide range of spot crypto ETFs due to this positive engagement.
Other cryptocurrencies also seeing increased approval odds include Dogecoin, Cardano, Polkadot, HBAR, and Avalanche, all now at 90%.
The SEC is also actively reviewing additional crypto investment products, including those linked to TRON and TRUMP, as well as staking-focused funds. While these are currently not included in Bloomberg's approval odds, Seyffart anticipates submissions soon.
Litecoin’s high standing on approval watchlists is partly due to the CFTC’s recognition of LTC as a commodity in previous legal documents. Canary Capital’s Litecoin ETF was among the first to show signs of SEC engagement.
The SEC’s request for Solana ETF issuers to update their S-1 filings further suggests that approvals may be imminent.
While the outlook for crypto ETF approvals is positive, Seyffart cautions that the exact timing remains uncertain, possibly falling within the next few months or later in the year.
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