Story Highlights
- Franklin Templeton files for XRP ETF, with Coinbase as custodian.
- SEC delays decision on multiple crypto ETFs, including XRP.
- XRP ETF approval could boost market value and attract more investors.
Franklin Templeton, a major asset management company with over $1.5 trillion in assets, has officially filed for an XRP exchange-traded fund (ETF). Nate Geraci, the president of The ETF Store, shared this news on his X account.
In this application, Coinbase Custody Trust Company will act as the custodian of the fund’s XRP assets. The partnership between the Coinbase Custody Trust Company includes secure management and storage of XRP assets for all investors. Through this partnership, Coinbase Custody Trust Company delivers both safekeeping and proper management oversight of XRP assets.
The U.S. Securities and Exchange Commission (SEC) has yet to approve the development of the ETF. The SEC has delayed its decision on several cryptocurrency ETFs, including those for Solana, Litecoin, and Dogecoin. The U.S. Securities and Exchange Commission (SEC) notified investors that they require additional time to look over multiple applications. The ultimate decision remains postponed due to prolonged review processes.
On the other hand, Ripple is facing legal battles as the company that developed XRP. Ripple must supply its response to the ongoing case no later than April 16, 2025. However, the situation is complex right now. XRP received a different classification compared to other cryptocurrencies after Judge Torre issued this ruling.
XRP ETF Approval Could Boost Market Value and Demand
Major legal challenges have failed to restrict the growing XRP popularity. Many investors maintain interest in XRP as more companies file applications to obtain XRP ETFs. The applications for XRP ETFs have already been submitted by 21Shares and Grayscale. Big financial institutions consider XRP a promising investment despite its existing legal challenges.
An XRP ETF approval from the SEC would enable investors to trade XRP by purchasing it directly through the exchange-traded fund. When XRP investment becomes easier through a potential regulatory change, many additional investors can start participating in this market. A rising demand for XRP, combined with expanding market value, could boost positive market developments.
However, investors need to wait until the SEC makes its ultimate decision regarding XRP. With strong faith in XRP’s future, Franklin Templeton must undergo an extended approval process. Ultimately, the upcoming SEC ruling is set to reshape both XRP and cryptocurrency Exchange-Traded Funds (ETFs) in the coming months.
