XRP ETF With Lowest Chance for Approval, Says Analyst
The post XRP ETF With Lowest Chance for Approval, Says Analyst appeared on BitcoinEthereumNews.com.
Bloomberg analysts Eric Balchunas and James Seyffart went through the filings for spot crypto ETFs to weigh the approval odds for each cryptocurrency in the list. The strongest candidate for the next string of ETF approvals is, apparently, Litecoin—the experts note its favorable regulatory standing, which CFTC cleared out in its KuCoin lawsuit. The commodity status distinguishes the fork of Bitcoin (often referred to as the “silver” to Bitcoin’s “gold”) from assets that could be potentially considered unregistered securities. Meanwhile, much to the dismay of its ironclad fanbase, XRP has the lowest chance (65%) of approval, according to analysts, trailing behind Litecoin (90%), Dogecoin (75%), and Solana (70%). Balchunas noted that for their predictions, they only considered ETF filings structured similarly to BlackRock’s Bitcoin Trust (IBIT), which operates under the ’33 Act framework. However, should the SEC greenlight the initial applications, the alternative ETF formats—such as those based on futures contracts or Cayman Islands subsidiaries regulated under the Investment Company Act of 1940—could also have a path to approval. “Keep in mind all of this stuff (except Litecoin which was always high) was <5% prior to election. So these are really good odds relatively speaking, and will likely grow the more we see these go through the typical process,” the analyst added. True to their name, some members of XRPArmy chimed in to defend their favorite coin against FUD, arguing against the “NO” put for XRP under the header “Does SEC currently view as commodity?”. A Twitter/X user @OnChainMayo pointed out that while the SEC appealed the decision in favor of Ripple, it didn’t contest the XRP status as a commodity. In response, Seyffart clarified that until all litigation between SEC and Ripple is settled, the prospect of XRP ETF will remain a far-off goal. Although the 19b-4 filings for…
Filed under: News - @ February 11, 2025 12:23 am