The post 21Shares Files S-1 for Potential XRP ETF Amid Ongoing SEC Legal Battles appeared on BitcoinEthereumNews.com.

In a significant move for the cryptocurrency market, Swiss ETF issuer 21Shares has filed an S-1 form with the SEC to initiate a spot fund tracking XRP. This initiative highlights 21Shares’ commitment to expanding U.S. investor access to blockchain technology, particularly through regulated investment vehicles. According to 21Shares, their proposed fund could provide a stable introduction to XRP, which holds the position of the seventh-largest cryptocurrency by market capitalization. 21Shares aims to launch a spot XRP ETF, potentially paving the way for increased institutional investment in cryptocurrency amidst ongoing SEC challenges. 21Shares Takes Steps Towards Launching an XRP ETF The recent filing by 21Shares marks a pivotal moment in the cryptocurrency exchange-traded fund landscape. The proposed 21Shares Core XRP Trust aims to allow U.S. investors to gain direct exposure to the price movements of XRP, facilitating accessibility to cryptocurrency investments via ETFs—an investment vehicle viewed as more secure and regulated than purchasing digital assets directly. The Impact of SEC Regulations on Crypto ETFs The SEC’s evolving stance on cryptocurrency regulation significantly influences the market. Despite the ongoing legal disputes surrounding Ripple, the company behind XRP, analysts suggest that the regulatory framework is beginning to offer a path for more digital asset ETFs. “With the SEC’s recent approvals of Bitcoin and Ethereum ETFs, it appears they are moving towards a more constructive approach with cryptocurrencies,” stated a financial analyst from XYZ Financial Services. Ripple’s Legal Battle with the SEC The backdrop to this ETF development is Ripple’s ongoing legal issues with the SEC, which have raised questions about the regulatory classification of XRP. The SEC’s lawsuit against Ripple, alleging that it sold unregistered securities, has been contentious. However, a recent judicial ruling favored Ripple in part by determining that certain sales of XRP did not meet the threshold of securities sales,…

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Filed under: News - @ November 1, 2024 10:18 pm