How the SEC Settlement Could Lead to XRP ETF?

Ripple’s recent settlement with the U.S. SEC could be a game changer for XRP, possibly paving the way for an XRP ETF. After years of legal battles, the blockchain company has finally reached an agreement with the SEC, significantly reducing the financial penalty from nearly $2 billion to $125 million. 

The world is watching, and questions are arising about the implications for XRP’s price, the potential for an ETF, and more.

Read on to know more.

Ripple’s Legal Victory and the Rise of Crypto ETFs

The crypto market surged in 2024, with Bitcoin and Ethereum ETFs gaining approval earlier this year. This momentum has driven a broader recovery in the market, making investors increasingly optimistic about the next cryptocurrency to follow suit. With the legal battle behind them, Ripple may now focus on entering the ETF market, following in the footsteps of Bitcoin and Ethereum. 

Some market watchers believe an ETF could be on the horizon, especially given the recent legal clarity that XRP is not considered a security. ETF analyst Nate Geraci has highlighted that regulated futures contracts are essential for any altcoin before ETF discussions can progress.

The crypto experts known as MackAttackXRP claim that by mid-2024 to 2025, introducing XRP ETFs into the $1.2 trillion derivatives market could significantly boost XRP’s position and adoption.

XRP Price Advantage: Regulatory Clarity

The settlement with the SEC has provided XRP with regulatory clarity that few other cryptocurrencies enjoy. This clarity is crucial for attracting cautious investors who might have previously been hesitant due to the ongoing legal uncertainties. Crypto analyst Doctor Profit highlighted this point, suggesting that XRP is now well-positioned for an ETF, possibly even ahead of Solana, another strong contender in the market.

The Ripple Effect: XRP ETF on the Horizon?

While the future of an XRP ETF looks promising, there are still challenges to consider. Rumors of a potential SEC appeal could create some uncertainty, but for now, the settlement appears to bring the case to a definitive close. With the lawsuit settled, Ripple can now focus on capitalizing on this regulatory win, potentially making XRP the next major cryptocurrency to debut as an ETF.

XRP saw a slight increase of 0.37% to $0.5665 as the broader crypto market gained 1.13%, reaching a $2.051 trillion market cap. Despite this, XRP has retreated from $0.6434 amid investor concerns over a potential SEC appeal in the Ripple case. Hopes for an XRP-spot ETF remain uncertain, with issuers awaiting legal clarity due to the ongoing SEC appeal threats. Ripple and the SEC can appeal the final ruling within 60 days.

What do you think? Is XRP ready for its ETF moment? Share your thoughts.