The race to bring XRP ETFs to the U.S. market is heating up. Following in the footsteps of Bitwise Asset Management, Canary Capital has filed a registration statement with the SEC for an XRP exchange-traded fund (ETF). This move signifies a growing interest in the cryptocurrency among institutional investors.
Canary Capital’s S-1 filing, submitted on Tuesday, seeks to offer investors direct exposure to the value of XRP held by the trust. The ETF would allow investors to access the XRP market through a traditional brokerage account, potentially making it easier for them to participate in the cryptocurrency space.
This filing comes on the heels of Bitwise Asset Management’s own S-1 filing for an XRP ETF last week. The move marked the first attempt by any company to bring an XRP ETF to the U.S. market. However, the path to approval remains unclear, as the SEC is currently locked in a legal battle with Ripple Labs over the classification of XRP as a security.
The SEC, under the leadership of Gary Gensler, alleges that Ripple Labs generated billions of dollars through the sale of XRP, which it considers an unregistered security. This legal battle could have significant implications for the future of XRP ETFs in the U.S., potentially delaying or even preventing their approval.
Despite the uncertainty, the growing interest in XRP ETFs reflects a broader trend of institutional investors seeking access to the cryptocurrency market. The potential launch of these ETFs could significantly impact the adoption and liquidity of XRP in the U.S. market.
