 
 
The XRP market has surged on news of legal clarity. XRP jumped about 10% after the U.S. Securities and Exchange Commission dropped its long-running appeal against Ripple.
That day’s market move (from roughly $1.85 to $2.05) came as investors digested fresh signs that regulators are softening toward XRP. Analysts and traders now ask: has the era of uncertainty ended, and is the stage set for an XRP ETF?
Ripple Lawsuit Ends, Status Confirmed
Ripple Labs will withdraw its cross-appeal in the SEC lawsuit.CEO Brad Garlinghouse told the media the move would “close this chapter once and for all”.
The 2023 court ruling had already established that XRP sold on public exchanges was not a security, while some institutional sales were ruled illegal.
With both sides now dropping appeals, XRP’s regulatory status is finally defined. This result “could bring the dispute closer to resolution’’ Legal clarity on XRP’s status removes a major uncertainty for investors and could clear the way for new financial products.
 
ETF Proposals Multiply
Institutional players have been lining up to launch XRP funds. According to ETF.com (Mar 20, 2025), at least seven firms filed for spot XRP ETFs, anticipating approval. Leading applicants include Bitwise Asset Management and Franklin Templeton, which filed for spot funds.
WisdomTree and Canary Capital have joined the race, and Grayscale Investments plans to convert its existing Grayscale XRP Trust into an ETF. Volatility Shares even filed three XRP ETFs – a spot fund, a leveraged fund, and an inverse fund.
Backed by Ripple, XRPQ provides North American investors with regulated XRP exposure. Its launch underscores global interest.
The SEC has invited public feedback on this and similar filings. Ripple’s chief legal officer, Stuart Alderoty, urged the SEC to set “clear rules” for tokens, warning that vague terms can “contribute to regulatory confusion”.
The day the appeals news broke, XRP’s price briefly spiked 10% Trading volume swelled as institutions moved in. Prediction markets are now very bullish on an XRP ETF. Polymarket data cited by ETF.com show about an 82% chance of a U.S. XRP-ETF approval in 2025.
Analysts point out that regulatory clarity is a key driver. One crypto strategist told the Economic Times that the 2023 SEC ruling on XRP “was not just a legal win — it’s a green light for institutional and cross-border use cases.”
Despite optimism, the SEC has yet to approve any altcoin ETF.
In early May 2025, CoinDesk reported that the SEC delayed decisions on multiple crypto ETF filings, including proposals for XRP, Hedera, and Dogecoin. The SEC, under new Chair Paul Atkins, appointed in April 2025, requested public comments on those applications.
The regulatory process for XRP ETFs may still take months; the SEC can use up to 240 days to act on a spot ETF application. In other words, final approval is not guaranteed immediately. As of June 2025, analysts are urging patience.
But they agree that recent clarity is a necessary step. The XRP lawsuit is winding down, and multiple applicants are on deck. The question now is timing, not possibility.
For U.S. investors, a green light for XRP ETFs would mark a turning point. If the SEC eventually approves a spot XRP ETF, it would join the handful of digital currencies (Bitcoin, Ether) with U.S. ETF status.
Industry sources say such a move could “validate XRP’s legitimacy” and open the asset to broader capital flows. For now, data paint a clear picture: regulatory signals are trending positive, ETF filings are in place, and odds of approval are high.
This analysis reports only confirmed events and data. All figures above are drawn from cited sources. XRP’s path to an ETF is now less obstructed – but until the SEC officially signs off, it remains a developing story.
Source: https://zycrypto.com/is-regulatory-clarity-the-green-light-for-ripples-xrp-etfs/