• The United States Securities and Exchange Commission (SEC) has officially started the filing process for the review of the Grayscale XRP exchange-traded fund (ETF).
  • The move came after the agency had recently filed the proposal in the Federal Register.

The NYSE Arca filed a 19b-4 application on January 30 to convert Grayscale’s XRP Trust to a spot ETF. The SEC responded to the filing on 13th February by acknowledging it and inviting comments from the public. The registration in the Federal Register sets off a structured review process.

The SEC can then take up to 240 days to either approve or disapprove the application. The final decision will be taken by October 18, 2025. In this period, the agency should assess compliance with regulations, measures of investor protection, and its effect on the market. Currently, a 21-day comment period is open for the public to contribute their opinions on the proposed fund from industry stakeholders and investors.

Additional XRP ETF Filings Await Registration

The SEC is expected to come up with other XRP ETF filings in the next few days at the most. In addition to Grayscale, others that were approved are Bitwise, Canary Capital, 21Shares, WisdomTree, and CoinShares.

There is still a high demand for an XRP ETF, which market analysts suggest has a higher chance of approval. The chances of at least one XRP ETF coming to the market have been predicted to stand at 81%, slightly higher than earlier predictions.

The ongoing legal battle between Ripple and the SEC is still an overhanging factor in regulatory matters. However, some analysts have opined that a shift in leadership will result in the SEC’s positive approach to digital currency financial products.

XRP community sentiments remain high, considering that former President Donald Trump has recently posted concerning Ripple’s progress constantly. Some have speculated that a favorable regulation of the cryptocurrency will enhance its usage and appreciation in the market.