Bitwise is now officially in the race to list a spot XRP ETF product following its recent filing with the US SEC
Bitwise has taken a significant step in its strategic move towards an XRP ETF. About 24 hours after it registered for an XRP ETF in Delaware, Bitwise filed an application with the U.S. Securities and Exchange Commission (SEC).
The XRP ETF, Bitwise Shoots First Shot
Fox Business Journalist Eleanor Terrett shared an update on the development in an X post. Bitwise’s filing signals its intention to create a regulated product, allowing institutional investors to gain exposure to XRP. Bitwise officially submitted a Form S-1 registration statement to the SEC.
With this, Bitwise is now the first asset manager to file for an XRP ETF globally. The filing is significant as it supports the asset manager’s confidence in XRP. Notably, Ripple was neck-deep in a legal battle with the SEC, which has led to XRP’s poor performance in the past three years.
Bitwise currently manages over $4.5 billion in assets and seems poised to manage and track the price of XRP. XRP currently ranks seventh in market capitalization, and Bitwise’s move could improve the asset’s value.
Challenges Ahead from U.S. SEC
Despite this filing with the SEC, Bitwise faces several regulatory hurdles. Prior to this XRP filing, VanEck and 21Shares applied to list Solana ETF products with the SEC. Many experts believe this push will not materialize, considering they have been retracted.
However, Bitwise’s submission of the S-1 form marks the first step in several months’ journey to achieving a spot in XRP ETF. Some experts consider Ripple Labs’ former legal issues with the SEC a challenge that could slow the process.
Regardless, the move may also likely spur other asset managers to consider filing for XRP products. The development has, however, not affected market sentiment. At the time of writing, data shows XRP exchanged hands at $0.5835, a 5.13% drop in the last 24 hours.
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