Purpose Investments Files Prospectus to Launch the First Spot XRP Exchange-Traded Fund (ETF)

The offering will launch the first spot XRP exchange-traded fund (ETF). This is an NFT, or non-fungible coin, as specified in Purpose Investments‘

Purpose Investments, a Canadian asset management firm, has filed a prospectus to launch the first spot XRP exchange-traded fund (ETF) in a move that could significantly boost the digital asset's profile and liquidity.

The product, if approved by regulators, will mark the first time XRP is made available to investors in a completely transparent and regulated manner.

The asset management firm, boasting around $23 billion in assets, is renowned for its pioneering efforts in the digital asset domain. In 2021, Purpose became the first issuer to launch spot Bitcoin and Ethereum ETFs in both Canada and the US.

As the XRP market continues to attract institutional interest, Purpose aims to capitalize on this momentum by becoming the first to introduce a spot XRP ETF in both markets, outpacing competitors همچنان منتظر هستند که کمیسیون بورس و اوراق بهادار (SEC) مجوزهای آنها را تأیید کند.

Canadian regulators, specifically the Ontario Securities Commission (OSC), played a pivotal role in approving the world's first spot Bitcoin ETF in February 2021, months ahead of the US ETF launch in January 2024.

Following a similar trajectory, Purpose's XRP ETF is poised to hit markets ahead of filings in the United States from firms including Grayscale, Bitwise, and WisdomTree, all awaiting SEC approval.

Emphasizing Purpose's goal of bridging traditional finance and decentralized assets, Som Seif, CEO of Purpose, highlighted the significance of this move.

"As XRP gains institutional traction, we believe an ETF offers investors a transparent way to access it within a regulated framework," Seif stated.

Growing institutional interest in XRP is evident, given the digital asset's $175 billion market capitalization and its potential to facilitate cross-border transactions. However, the ongoing lawsuit between Ripple and the SEC remains a factor, and without a resolution, the timing of an American XRP ETF is still uncertain.

Market optimism for XRP is palpable, with Polymarket currently indicating an 82% probability of a US XRP ETF being cleared under a possibly favorable administration.

Following Purpose's application, XRP trades at around $3.05, with analysts suggesting it could reach an all-time high of $3.55 if it manages to sustain levels above $3.00.

If Canadian regulators approve Purpose's XRP ETF, it would likely put pressure on US regulators to expedite similar applications. With XRP's popularity soaring, the question is no longer whether an XRP ETF will launch but rather when.