Following the approval of Bitcoin Spot ETFs, the cryptocurrency market is eagerly awaiting similar approvals for Ethereum and potentially XRP Spot ETFs.
Cryptocurrency journalist Elleanor Terrett recently shed light on what it takes to get XRP Spot ETFs approved.
According to Terrett, approval of the XRP spot ETF depends on the existence of the futures ETF. “To get to the XRP spot ETF, there will first have to be a futures ETF,” the journalist explained.
This requirement is not unprecedented. The approval of Bitcoin spot ETFs was due in part to the SEC's conclusion that the CME Bitcoin futures market was adequate to provide oversight against fraud and manipulation.
Terrett suggests that if XRP gets a futures ETF, it could pave the way for a spot ETF. “If XRP can get a futures ETF, that would be a step in the right direction to one day get a spot ETF,” he said.
Earlier this month, Bloomberg ETF analyst James Seyffart shared that he did not believe an XRP ETF would appear soon. Seyffart also noted that unlike Bitcoin and Ethereum, there is currently no approved XRP futures ETF in the United States.
*This is not investment advice.
