There is a growing clamor that a spot XRP ETF might be around the corner following the historic approval of multiple spot Bitcoin ETFs by the United States SEC.
After years of waiting, the spot Bitcoin ETF is now a reality, with trading for the funds set to open trading anytime now.
With the SEC breaking the stalemate, proponents believe this Bitcoin offering can pave the way for other single-asset crypto ETFs to find their way into the market.
Fox Business journalist Eleanor Terrett has presented a bull-bear case argument drawing on her conversations with industry commentators.
Is Spot XRP ETF Possible?
The idea behind a possible spot XRP ETF was first injected into the hearts of the coin’s proponents when a fake ETF filing designed to track the product was linked to BlackRock last year.
Though the filing at the time turned out to be a ruse, the notion of scoring one XRP ETF in the future starred backers in full glare.
Earlier this week, Steve McClurg, Valkyrie’s CIO, also hinted at the possibility of a spot in XRP and Ethereum ETFs in the future, further igniting hope in the product.
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According to Eleanor, the bull case argument for why XRP ETF is possible hinges on the regulatory clarity the digital currency has scored in the US.
Last July, Judge Analisa Torres declared that the sale of the coin to retailers on exchanges does not constitute an investment offering. The relisting of XRP on exchanges has also solidified its outlook as a legitimate asset.
However, the bears argued that with Gary Gensler at the helm of affairs as the SEC Chair, other cryptocurrencies may not get their equivalent ETF approved.
Bears believe the industry may need a Congressional intervention to achieve other crypto ETFs under the current SEC leadership.
Spot Ethereum ETF as a Test Push
Despite the validity of the concerns that non-Bitcoin-related ETFs will be hard to sell to the SEC, some of the applicants with approved spot Bitcoin ETFs have also filed applications to list spot Ethereum ETFs.
This product will serve as an avenue to test whether the crypto ecosystem has truly entered a new era of maturity and regulatory trust or one that will come with a different kind of hurdle.