WisdomTree Files for XRP ETF as Race to Launch Cryptocurrency ETP Heats Up

d asset manager WisdomTree, overseeing $113 billion in assets, has filed for an XRP Exchange-Traded Fund ( XRP ETF) in Delaware. This move underscores growing confidence in cryptocurrency investments as the market rides a wave of optimism.

Major asset management firm WisdomTree has filed an application in Delaware to launch an XRP Exchange-Traded Fund (XRP ETF). This move comes as a testament to the increasing institutional interest in cryptocurrency investments, especially in light of the recent market rally.

WisdomTree's venture into the XRP ETF market follows several attempts by industry giants such as Bitwise, Canary Capital, 21Shares, and Grayscale to launch similar funds. However, the U.S. Securities and Exchange Commission (SEC) has yet to approve any XRP ETFs.

The delay in regulatory approval is primarily due to Ripple's partial legal victory in July 2023, where a federal judge ruled that XRP is not a security in retail sales. Subsequently, the SEC filed an appeal on October 2, 2024, stalling the final decision, which is now expected in 2025.

Despite the setback, analysts remain optimistic about a potential shift in the regulatory landscape. Donald Trump's 2024 presidential victory and SEC Chair Gary Gensler's planned departure in January 2025 may pave the way for a more crypto-friendly administration. Trump's administration has expressed support for blockchain innovation, which could accelerate XRP ETF approvals.

WisdomTree's XRP ETF Filing

WisdomTree's filing aims to create a fund that tracks the performance of XRP, providing investors with exposure to the asset's spot price. This initiative builds on the success of WisdomTree's European XRP and Ethereum Exchange-Traded Products (ETPs), which offer investors a way to directly trade these assets.

Prominent XRP advocate and attorney John Deaton commented on the asset's resilience, stating, "Hate it or love it, the token is the most resilient crypto asset around."

XRP's ability to withstand regulatory scrutiny and maintain its position among the top ten cryptocurrencies by market capitalization showcases its strength. As institutional players like WisdomTree continue to push for ETF approvals, the potential for XRP's mainstream adoption becomes increasingly evident.

XRP's journey toward broader institutional acceptance continues, presenting new challenges and opportunities along the way.