21Shares Files Spot XRP ETF Application With the SEC, Aims to Bring XRP to Regulated Market

This fund, named the “21Shares Core XRP Trust,” aims to let people invest in XRP through a regulated market without directly buying the cryptocurrency itself.

Investment firm 21Shares has filed with the U.S. Securities and Exchange Commission (SEC) to launch a spot XRP exchange-traded fund (ETF).

The fund, called the “21Shares Core XRP Trust,” would allow people to invest in XRP on a regulated market without directly buying the cryptocurrency. If approved, the ETF would trade on the Cboe BZX Exchange, making it easier for everyday investors to get exposure to XRP’s market value.

The ETF would track XRP's market price using a specific price benchmark from the Chicago Mercantile Exchange (CME). Coinbase Custody Trust Company would serve as the custodian for the XRP, holding it securely for the fund if the SEC approves the ETF.

21Shares is among several companies that have attempted to launch an XRP ETF. Other firms, such as Bitwise and Canary Capital, have also filed applications with the SEC for similar funds.

The interest in these funds began after the SEC approved spot Bitcoin and Ether ETFs earlier this year, which sparked a wave of applications for various cryptocurrency ETFs.

However, the SEC has yet to approve any spot XRP ETFs, partly due to its ongoing legal battle with Ripple Labs. The SEC maintains that XRP is a security (like a stock), while a judge recently ruled that XRP is “not a security” when sold on public exchanges. The SEC is appealing this decision, which could delay a final determination.

The SEC may delay a decision on this application, potentially pushing it into the next presidential administration.

Some crypto supporters hope that if Donald Trump, the Republican candidate, wins the election, he might appoint SEC officials who are more favorable to cryptocurrencies, increasing the chances for XRP ETFs.