Ripple Spot ETF Timing: More Futures Funds Roll Out, Spot XRP Awaits SEC Nod

Key Takeaways

• The SEC has approved several futures-based ETFs.
• The regulator has formally accepted to review Grayscale’s proposal to turn its XRP Trust into an ETF.
• Optimism is high within the crypto community, fueled by the recent SEC drop of its case against Ripple.

With a pro-crypto administration under President Donald Trump and the Securities and Exchange Commission (SEC) dropping its case against Ripple, the question for investors has shifted from whether an XRP exchange-traded fund (ETF) will be approved to when.

Ripple CEO Brad Garlinghouse anticipates approval in the second half of 2025, well over a year after the SEC cleared Bitcoin and Ethereum ETFs.

In the meantime, an XRP ETF is debuting in the U.S. market, even before receiving the SEC’s official green light.

SEC Approves ProShares’ ETF Application

The SEC has approved ProShares Trust’s application to launch three XRP futures-based ETFs, according to a recent filing. The new products are scheduled to roll out on April 30.

ProShares originally filed for the ETFs on January 17, just ahead of President Donald Trump’s inauguration, a move seen as capitalizing on the shift toward more crypto-friendly regulatory leadership.

The newly approved offerings include:

• Ultra XRP ETF, providing 2x leveraged exposure,
• Short XRP ETF, offering inverse (-1x) exposure,
• Ultra Short XRP ETF, delivering inverse (-2x) exposure.

These ETFs will join Teucrium’s XRP Futures Fund as the U.S. market’s second, third, and fourth XRP-related ETFs.

Unlike spot ETFs, which require the actual holding of XRP tokens, these futures-based products will allow investors to speculate on XRP’s price movements by tracking the XRP Index without directly owning the asset.

ProShares’ separate application for a spot XRP ETF remains under SEC review. Meanwhile, Brazil has already launched a spot XRP ETF through asset manager Hashdex.

Following the approval news, XRP’s price climbed 6.1% over the past 24 hours, reaching $2.30 and pushing its market capitalization above $134.6 billion.

Teucrium Launches Leveraged Fund Based on XRP

Teucrium Investment Advisors debuted the first-ever XRP ETF in the U.S. with the launch of the Teucrium 2x XRP ETF, trading under the XXRP ticker.

The fund offers investors twice the leveraged exposure to XRP, marking a notable departure from the typical launch pattern for crypto ETFs.

Unlike the usual unleveraged “spot” funds, Teucrium introduced a leveraged product, despite regulators still withholding approval for a standard “spot” XRP ETF.

The Teucrium 2x XRP ETF began trading on NYSE Arca on Tuesday, April 15, with a management fee of 1.85%. However, the company has cautioned that XRP’s price volatility and declining usage on the Ripple network could affect the fund’s performance.

Bloomberg’s ETF analyst Eric Balchunas remarked on X , “Very odd (maybe a first) that a new asset’s first ETF is leveraged. Spot XRP still not approved, although our odds are pretty high.”

Garlinghouse Confident About XRP ETF Approval

Ripple CEO Brad Garlinghouse remains bullish on XRP’s future.

In an interview with Bloomberg , Garlinghouse stressed that regulatory approval is crucial for XRP’s broader adoption.

He expects the SEC to greenlight XRP ETFs by late 2025, citing applications from major firms like Bitwise and Franklin Templeton as evidence of growing institutional demand.

“There’s a huge demand for these ETFs,” he said, noting that XRP-based investment products are already gaining traction outside the U.S.

With the SEC dropping its case against Ripple, Garlinghouse believes XRP now has stronger legal standing, paving the way for increased institutional adoption.

XRP To Be Part of Strategic Reserve

Ripple CEO Brad Garlinghouse believes XRP has a strong chance of being included in the U.S. government’s strategic digital asset reserves, citing President Trump’s endorsement and the recent White House Crypto Summit.

He speculated that the government could acquire XRP through seized assets, simplifying the process.

While Trump’s social media post announcing a national crypto reserve didn’t explicitly mention XRP, Garlinghouse remains optimistic about its inclusion.

“He posted something saying there should be other tokens, that there’s going to be a Bitcoin strategic reserve and a crypto stockpile that would include things later,” Garlinghouse said.

“I don’t know what specifically was in the executive order. My understanding is there will be a Bitcoin strategic reserve, a crypto stockpile representing other cryptos, and I would expect that to include XRP.”

SEC Acknowledges Grayscale’s Proposal

The U.S. SEC has acknowledged proposed rule changes allowing NYSE Arca to list and trade shares of the Grayscale XRP Trust.

Now, a 45-day review period will begin upon publication in the Federal Register.

This acknowledgment, particularly for the Grayscale XRP Trust, is significant given Ripple’s ongoing legal battle with the SEC over XRP’s classification.

While approval isn’t guaranteed, it signals a potential shift in the SEC’s stance on crypto investment products, contrasting with past reluctance that led to withdrawn applications.

The SEC has also opened a 21-day public comment period before deciding on approval.

NYSE Arca filed a 19b-4 form last month to list Grayscale’s XRP Trust, which managed $16.1 million in assets as of January 22, 2025.

Speculation Grows Over Spot XRP ETF Approval

Speculation about the approval of a spot XRP ETF has been buzzing across crypto social media following a high-profile dinner meeting between Ripple CEO Brad Garlinghouse and President-elect Donald Trump.

Many industry watchers see Ripple (XRP) as a strong contender for ETF approval, with Garlinghouse himself hinting that XRP could be next in line.

Despite its ongoing legal battle with the SEC, which has raised questions about XRP’s regulatory status, the countdown for the first spot XRP ETF has officially begun.

On Feb. 6, Chicago’s Cboe Exchange submitted applications to the SEC for the approval of the first batch of spot XRP ETFs, including filings from firms such as WisdomTree, Bitwise, 21Shares, and Canary.

On Feb. 10, the Nasdaq Stock Market submitted a proposed rule change to the SEC, aiming to list and trade shares of the CoinShares XRP ETF.

Launch Conditions

While the prospect of a pro-crypto regulator offers hope to the industry, it doesn’t guarantee a smooth approval process for every crypto ETF application.

For a spot XRP ETF—or even a Solana (SOL) ETF—to gain approval, the U.S. government must first establish clear regulations defining what constitutes a security and how crypto tokens are classified as assets.

Skepticism surrounded the approval of a spot Ethereum ETF, but its eventual green light has encouraged asset managers to file for a range of altcoin-based ETFs. However, the path for XRP is more complicated.

Several securities lawsuits are currently pending against major crypto exchanges, with tokens like XRP and SOL cited as potential securities.

The SEC would need to resolve these legal disputes and clarify its stance before any regulatory approval for an XRP ETF could move forward.

Eyes on XRP

XRP finally broke out in 2024, surging fivefold over the past year. The price climbed from $0.52 to a multi-year high of over $2.90 and is currently trading at $2.32.

With the introduction of a native stablecoin and the anticipated approval of a spot XRP ETF in 2025, the stage seems set for XRP to challenge its all-time high of $3.12, which was last reached in 2017.

Market analysts and XRP enthusiasts are optimistic, predicting that the token could surpass $5 in the upcoming bull cycle, fueled by the expected ETF approval.

XRP ETF Filings

Bitwise Leads the Charge

Bitwise Asset Management was the first to file for a spot in XRP ETF, making its move in October 2024.

The firm submitted an S-1 registration statement to the SEC just a day after registering an XRP trust with Delaware’s Department of State. The filing invoked a sense of euphoria among the XRP community, given that XRP was delisted from all U.S. exchanges three years ago.

Canary Capital Joins ETF Race

Canary Capital, a crypto investment firm led by former Valkyrie CIO Steven McClurg, filed for a spot XRP ETF on Oct. 8.

This filing was the second application for an XRP ETF in the U.S., following Bitwise’s earlier submission.

21Shares Applies For XRP ETF

WisdomTree Files S-1 for XRP ETF

WisdomTree filed its S-1 registration for a spot XRP ETF on Dec. 2, 2024.

If approved, this would mark WisdomTree’s second crypto ETF.

The filing reveals the asset manager’s plans to list the spot XRP ETF on the Cboe BZX Exchange.

However, unlike other issuers that typically include key details like custodians and ticker symbols, WisdomTree’s S-1 leaves these points unaddressed.

WisdomTree has already found success in the crypto ETF space, with its Bitcoin ETF, BTCW, reporting net inflows of $217 million.

CoinShares Files XRP ETF Application

CoinShares is the latest to apply for a spot XRP ETF. 

Following up on the filing, CoinShares will be the official sponsor of the ETF, while CSC Delaware Trust Company has been designated as the fund’s trustee.

Details regarding the ETF’s administrator, transfer agent, marketing agent, and custodian have not yet been disclosed.

On Feb. 10, the Nasdaq Stock Market filed a proposed rule change with the SEC. The proposal seeks approval to list and trade shares of the CoinShares XRP ETF, officially named the ‘Trust.’

Grayscale To Convert XRP Trust Into ETF

Grayscale Investments has filed with the SEC to convert its $16.1 million XRP Trust into an exchange-traded fund, aiming to broaden crypto investment options beyond Bitcoin.

If approved, the ETF would simplify XRP investing, allowing mainstream investors to gain exposure without navigating crypto exchanges or digital wallets.

This would also mark the first regulated XRP fund in the U.S. After Grayscale’s filing, NYSE Arca filed a 19b-4 form last month to list Grayscale’s XRP Trust.

MEMX Files For A “Commodity-Based Trust”

MEMX, a U.S.-based securities exchange, has officially filed with the SEC to launch an XRP ETF under the Commodity-Based Trust category.

If approved, this would position XRP in a regulatory framework similar to that of Bitcoin and Ethereum ETFs, which received approval in 2024.

The move is part of a broader trend as more cryptocurrency-related ETFs seek regulatory clearance from the SEC.

The filing, made on Feb. 17, highlights the increasing demand for innovative investment products that offer exposure to the crypto space.

Is BlackRock Going To Get Involved?

Garlinghouse has hinted at a possible partnership with BlackRock to launch an XRP ETF in the U.S.

“We think it makes sense for the XRP community overall,” Garlinghouse said, suggesting the collaboration could benefit both XRP holders and the broader crypto ecosystem.

If it materializes, the ETF could provide institutional investors with easier access to XRP, potentially increasing its legitimacy and market presence.

A tie-up with BlackRock, one of the world’s largest asset managers, would signal a growing acceptance of digital assets within traditional finance.

However, nearly six months after the statement, BlackRock has yet to file an application for a spot XRP ETF.