When Will the SEC Approve the XRP ETF? Here are the Possible Scenarios!

Following the approval of the spot Bitcoin ETF, all eyes are on the approval of a spot Ethereum ETF, while it is rumored that a possible XRP ETF may also be approved.

While there are various opinions about XRP ETFs, some think that the XRP ETF may receive approval soon, while others argue that there is no possibility of XRP ETFs being approved before the SEC-Ripple case is over.

At this point, Coinshares analysts speaking to Cointelegraph argued that even if there is an ETF application for XRP, the market should not expect regulatory approval for XRP ETFs soon.

At this point, Townsend Lansing, CoinShares' head of product, said that the SEC-Ripple case and the lack of an approved XRP futures ETF product have reduced or eliminated the chances of spot XRP ETF approval:

“I don't think an XRP ETF will be possible unless the SEC agrees that XRP is not a security or is forced to do so by the court.

However, if the SEC loses the case and the court decides that XRP is not a security, then XRP ETF approval may come.”

CoinShares research analyst Max Shannon also pointed out that it took more than 10 years for the spot Bitcoin ETF to be approved and stated that XRP ETF approval should not be expected anytime soon.

Scott Johnsson, general partner of Van Buren Capital, also stated that the possibility of XRP ETF approval is very slim and said that he thinks XRP must win the SEC case for a possible ETF approval.

Finally, Bloomberg ETF analyst James Seyffart also thinks that XRP ETF approval will not occur this year.

In an interview after the Bitcoin ETF approval, Seyffart stated that the XRP ETF is a distant possibility for now and that he does not think this ETF approval will happen this year, given the SEC's ongoing case against Ripple.

Seyffart also added that unlike BTC and ETH, there are currently no approved XRP futures ETFs in the US.

As it is known, the SEC-Ripple case is still ongoing and Ripple won a partial victory against the SEC in August 2023. Accordingly, the judge ruled that XRP was not a security when sold on retail exchanges, but was a security when sold to institutional buyers.

The next hearing is scheduled for April 23.

*This is not investment advice.

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