WisdomTree has filed for official authorization to launch an ETF based on Ripple’s cryptocurrency, XRP. The company filed an S-1 document with the U.S. Securities and Exchange Commission (SEC), a necessary step to issue and trade its financial product.
This move follows previous filings by Bitwise, 21Shares and Canary Funds, which are also looking to launch their own XRP ETFs.
WisdomTree’s formal filing coincides with XRP’s notable surge. Source: Eleanor Terret.
WisdomTree registered its XRP ETF in the state of Delaware, a first step towards formalizing the application with the US SEC.
WisdomTree’s formal filing coincides with a notable surge in XRP, which has been trading above $2 in recent days, up more than 200% in a month.
Currently, XRP is more valuable than USDT and ranks third among the most highly valued cryptocurrencies on the market, as reported by this outlet earlier.
Since Sunday, December 1, XRP is up more than 30%, currently trading at $2.63. XRP is approaching its all-time high of $3.3, with a gap of 73.6% separating it from its All-Time High (ATH).
Several factors are driving this rise: the election of Donald Trump in the US, the end of the litigation between the SEC and Ripple, institutional investment and the knock-on effect of bitcoin, the largest digital currency in the world.
Applications to launch an XRP ETF in the US could be approved as long as Trump keeps his promise of friendlier and less restrictive regulation for the cryptocurrency sector. This is anticipated with the announced departure of Gary Gensler from the SEC and the possible arrival of a new commission president more open to the bitcoin ecosystem.
Interest in cryptocurrency ETFs has been growing, reflecting a growing acceptance and confidence in these investments. If the SEC approves these ETFs, it could mark an important milestone for the integration of cryptocurrencies into the traditional financial system, making it easier for institutional and retail investors to access digital assets like XRP without the need to directly own the crypto asset.
