Asset Manager Bitwise Registers XRP ETF Trust in Delaware

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Shalini is a crypto reporter who provides in-depth reports on daily developments and regulatory shifts in the cryptocurrency sector.

Asset manager Bitwise submitted a filing for an XRP exchange-traded fund (ETF) to Delaware’s Division of Corporations on Sept. 30. This filing includes the registration for establishing a Delaware statutory trust, which is a business-oriented trust legally recognized in the state.

Companies like Bitwise, BlackRock, and Fidelity first registered trust entities for Bitcoin (BTC) and Ethereum (ETH). This step came before they filed to list and trade ETF shares based on these cryptocurrencies. In the same way, registering a trust entity is the initial step toward filing for an ETF listing and trading.

*BITWISE XRP ETF FILING IS GENUINE, SPOKESPERSON CONFIRMS

Source: DB | Coins: XRP

Last month, Grayscale revealed plans to launch an XRP Trust investment product, with the potential to convert it into an XRP ETF in the future.

In 2021, Grayscale had to shut down its previous trust due to the SEC’s lawsuit against Ripple Labs, which accused Ripple of selling XRP as an unregistered security. However, that legal dispute ended earlier this year, with Ripple settling with the SEC for $200m.

The resolution of XRP’s regulatory status has paved the way for US exchanges to relist XRP and allowed companies like Grayscale to develop new XRP-related investment products.

Nevertheless, the regulatory landscape for cryptocurrencies continues to be unpredictable.

For an XRP ETF to become a reality, it would have to comply with SEC regulations, which have shown a cautious approach towards crypto ETFs, particularly in light of the previous disputes over XRP’s classification as a security with Ripple.

Image Source: Delaware