Purpose Files for First Spot Ripple (XRP) ETF in Canada

• Purpose Investments files for the first-ever Ripple (XRP) ETF in Canada.
• Growing interest in crypto ETFs as regulations evolve, with more expected in 2025.
• Purpose leads with crypto ETFs, following its Bitcoin ETF success in Canada.

Purpose Investments, a Canadian asset management firm, has filed a draft proposal for the world’s first exchange-traded product based on the spot value of Ripple (XRP).

Following its role as the leader behind the first Bitcoin and Ether ETFs, Purpose Investments is now seeking to break new ground in the Ripple market. The company has filed the required documentation with Canadian securities regulators to introduce the Purpose Ripple ETF. This ETF is intended to invest in long-term holdings of XRP, creating an innovative way for investors to gain access to the digital asset in a legal environment.

Som Seif, the founder and CEO of Purpose Investments, expressed the company’s continued commitment to connecting traditional finance with decentralized finance. Seif noted that with XRP gaining increasing adoption and institutional interest, an ETF would provide investors with a transparent and familiar way of getting exposure to the asset. 

Related: Grayscale Files for XRP Spot ETF: Will XRP Price Rally on the News?

The Rise of Crypto ETFs: A Growing Trend

Purpose Investments’ move comes as interest in crypto ETFs grows. Driven by shifting regulatory attitudes, several other firms have made similar filings in recent months. Grayscale, CoinShares, Bitwise, WisdomTree, and 21Shares are among the asset managers that have applied for XRP ETFs in the United States.

As regulatory landscapes change, many industry leaders envision launching more crypto-centric products in 2025, further expanding institutional access to digital assets.

In addition, in the U.S., changes in leadership at the SEC have created a more favorable environment for crypto ETFs. With the change of administration and the resignation of SEC Chair Gary Gensler, several firms have been encouraged to press forward with their ETF filings.

Related: ProShares Files for XRP ETFs on Gensler’s Final Day as SEC Chair

However, the SEC was not expected to issue preliminary decisions on those filings until late January 2025. Specifically, Grayscale’s proposed XRP ETF application deadline was January 23, 2025, whereas the others were due for decisions by January 25, 2025.

Purpose Investments, which first introduced the world’s Bitcoin ETF a few years back in Canada, continues to implement its strategy to offer institutional investors a regulated gateway into the crypto asset markets, unlike the U.S., which had to wait until January 2024 for its spot Bitcoin ETFs to be approved, and those ETFs have seen their assets grow.