The US Securities and Exchange Commission (SEC) formally acknowledged the 19b-4 filings for XRP exchange-traded fund (ETF) today, meaning that the agency is at least willing to consider the proposal.
The acknowledgment specifically applies to Grayscale’s product, which will convert its existing XRP Trust into a fully tradable ETF on the New York Stock Exchange (NYSE) Arca.
Grayscale launched its XRP Trust years ago, similar to its Bitcoin and Ethereum trusts. A conversion to an ETF would provide greater liquidity and accessibility, potentially increasing demand for XRP among traditional investors.
XRP ETF filing moves to the next stage
But the acknowledgment does not mean an automatic approval, nor does it guarantee that the SEC will definitely greenlight the XRP ETF in the future. But it is still a pretty big deal because the SEC, under its former chairman Gary Gensler, refused to even engage with altcoin ETF applications.
Just a few months ago, Solana ETF applications were withdrawn after the SEC and Gary refused to even discuss them with the public. The acknowledgment is just the first step in the SEC’s approval process. According to the 19b-4 form posted on Thursday, the next stage is public comment.
The filing will be published in the Federal Register, after which the public has 21 days to submit feedback. Following this period, the SEC will decide whether to approve, reject, or extend its review by opening more proceedings.
This development doesn’t just affect Grayscale. Bitwise Invest, 21Shares, Canary Funds, and WisdomTree Funds, have also filed for XRP ETFs, though their applications are yet to be officially acknowledged by the agency. These companies submitted their applications after Grayscale, so their filings will be reviewed separately once acknowledged by the SEC.
The SEC has also acknowledged Dogecoin ETF filings, which would have been unthinkable under the previous administration. Historically, altcoin ETF applications have either been rejected or withdrawn soon after submission.
Meanwhile, President Trump has picked the crypto-loving Paul Atkins to be his SEC chairman, though he is yet to be confirmed, so we got Mark Uyeda as the acting chairman until he does, ideally by May.
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Source: https://www.cryptopolitan.com/sec-officially-acknowledges-xrp-etfs-19b-4-filings/