Ripple’s XRP continues to solidify its position in the digital asset space as WisdomTree Funds, a leading New York-based asset manager, filed for an XRP exchange-traded fund (ETF) in Delaware on November 25, 2024. This action shows the trend of cryptocurrency institutionalization, defined as XRP, which tends to stand tall amid volatile conditions.
The filing represents the initial step in launching an ETF, with WisdomTree still needing to submit an S-1 registration statement to the SEC. Eleanor Terrett, a journalist at Fox Business, confirmed the application after reaching out to WisdomTree for clarification.
Also Read: XRP Faces Further Pullback Before Potential Rebound to 2021 Highs
Ripple’s XRP ETFs Gain Momentum with Multiple Filings
WisdomTree’s entry into the XRP ETF space makes it the fourth company to pursue this offering. It comes after Bitwise, Canary Capital, and 21Shares applications that seek to ride on increased institutional investor interest in XRP. Bitwise started the trend with the first filing, and Grayscale has recently launched an XRP Trust, which may indicate an intention to turn it into an ETF. After rising last week, the demand for XRP ETFs is still growing, according to Ripple’s CEO Brad Garlinghouse.
This rising concern over XRP ETFs indicates faith in the cryptocurrency while it triggers division amongst the masses. Its strengths include its efficiency for cross-border transactions; on the negative angle, its impacts as a centralized platform favor Ripple than being efficient on its own.
Regulatory Shifts Drive Optimism for XRP ETFs
The filing comes amid evolving regulatory circumstances, with SEC Chair Gary Gensler’s January 2025 resignation and former President Donald Trump’s crypto-friendly policies sparking optimism. As far as industry insiders are concerned, the new Bitcoin ETF and Ethereum versions make XRP a prime candidate for the subsequent approval round.
XRP’s market performance has responded positively to the news, gaining 3.68% in 24 hours following WisdomTree’s filing. Over the last week and month, it has surged 29% and 182%, respectively, reflecting growing market confidence.
Ultimately, WisdomTree’s ETF filing adds momentum to XRP’s institutional adoption. As regulatory clarity improves, XRP could become a key player in the ETF space.
Also Read: XRP Soars 71.82% as SEC Chair Gary Gensler Announces Resignation
