TL;DR
- The SEC has postponed the decision on Franklin Templeton’s XRP spot ETF until June 17, 2025, after an additional review and opening for public comments.
- If approved, the United States would become the second country to launch this product, joining Brazil, which already operates one under the ticker XRPH11.
- XRP is trading around $2.16 after a weekly drop of nearly 2%, while analysts suggest that approval could drive its price toward $3.
The U.S. Securities and Exchange Commission (SEC) has decided to extend the deadline to determine the future of Franklin Templeton’s proposed XRP spot ETF.
The new deadline is set for June 17, 2025, following an internal review aimed at more thoroughly analyzing the application submitted on March 13 by the Cboe BZX Exchange. This delay is due to the need to assess potential regulatory changes and gather public comments before making a final decision.
Investors Await SEC’s Decision
The ETF in question would allow the listing and trading of shares in the Franklin XRP Fund under the category of commodity-backed funds. While a quicker approval was expected, especially after developments in the Ripple legal case, the delay did not surprise analysts. Eric Balchunas, a Bloomberg ETF specialist, explained that such extensions are common and follow the same pattern as the Bitcoin and Ethereum ETFs before they received approval.
If approved by the SEC, the United States would become the second country to enable an XRP spot ETF. Brazil has had a similar product for months, trading under the ticker XRPH11 on the B3 exchange. Although this fund received a good initial reception, its impact on XRP’s price was limited due to the smaller volume and size of the Brazilian financial market.
Currently, U.S. investors can only access XRP through a futures ETF managed by ProShares. The potential launch of a spot product would be crucial for institutional and retail investors seeking direct exposure to the asset without turning to the secondary market.
Bearish Week for XRP
XRP’s price remains below $3, trading around $2.16 per unit at the close of this report, with a decline exceeding 5.5% in the past 24 hours. On a weekly basis, the drop is nearing 2%. Although the asset continues to consolidate, the expectation of a potential approval could act as a catalyst in the coming months. Some specialists estimate that a favorable ruling could push its value toward $3 as institutional demand increases
