Momentum around a potential U.S. spot XRP exchange-traded fund is growing rapidly as the Ripple vs SEC case officially closes and issuers line up for approval.
Market watchers argue that investors may be underestimating just how much demand the product could generate if greenlit.
Why Analysts Expect Heavy Inflows
Nate Geraci, president of NovaDius Wealth Management, highlighted that XRP futures have already crossed $1 billion in open interest on the CME in record time. Coupled with more than $800 million currently tied up in futures-based XRP ETFs, Geraci believes the appetite for spot funds would be even greater.
Several major issuers — including Bitwise, Grayscale, WisdomTree, 21Shares, Canary Capital, CoinShares, and Franklin Templeton — have pending filings with the SEC. The agency recently extended deadlines for multiple applications, with final decisions due in October 2025.
Historical Precedent
Supporters of an approval point to the SEC’s handling of Ethereum ETFs last year. Courts forced the regulator’s hand after it approved ETH futures products, compelling it to grant spot approvals on consistency grounds. Analysts believe the same logic will eventually apply to XRP.
Recent amendments to S-1 filings from multiple fund managers are being interpreted as a promising sign. Bloomberg’s James Seyffart noted that such updates usually indicate constructive engagement between issuers and the SEC.
XRP Community’s Role
Beyond institutional interest, some observers see grassroots demand as a unique driver. Attorney John Deaton — a vocal supporter of XRP holders during the Ripple lawsuit — predicted that the so-called “XRP Army” could provide significant inflows. He pointed to their unprecedented mobilization during Ripple’s legal battle, where 75,000 holders across 143 countries formally joined the case.
Deaton argued that the same community influence could extend to ETF adoption, recalling how XRP supporters helped push Gemini’s XRP credit card to the top of the exchange’s product lineup and even boosted Gemini’s app downloads ahead of Coinbase.
What’s Next
With deadlines approaching this fall, anticipation is building that the SEC will be forced to approve at least one spot XRP ETF. If so, XRP would become the third major crypto asset to receive an exchange-traded fund in the U.S., potentially unlocking a fresh wave of institutional and retail demand.
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Source: https://coindoo.com/xrp-etf-news-analysts-predict-unstoppable-demand-on-approval/