Grayscale Wants XRP ETF Certification as Trump Regulators Like Crypto

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NYSE Arca is attempting to convert Grayscale’s XRP Trust into a spot ETF, with Coinbase Custody and BNY Mellon playing critical roles.

NYSE Arca has submitted an application to the Securities and Exchange Commission (SEC) in order to convert Grayscale’s XRP Trust into an exchange-traded fund.

If authorized, Coinbase Custody Trust Company, LLC will act as the custodian. Simultaneously, BNY Mellon Asset Servicing will serve as the fund’s transfer agent, as indicated in a 19b-4 filing that was submitted on Thursday.

XRP Trust is one of the numerous investment vehicles that Grayscale has either converted or is in the process of converting in response to the increasing demand for digital asset-based investment offerings.

The move is a result of the firm’s effective conversion of its Bitcoin Trust into a spot ETF on January 11, 2024, and its Ethereum Trust into a spot ETF six months later.

Grayscale has also requested SEC approval to transform its Digital Large Cap Fund, which currently holds Bitcoin, Ethereum, Solana, and XRP, into a diversified multi-crypto ETF.

The firm rebalanced the fund in January 2025, increasing the proportion of Bitcoin and Ethereum to 90% and replacing Avalanche with Cardano.

Following Donald Trump’s election to a second term in November, issuers are under pressure to secure approval for new crypto-based exchange-traded funds (ETFs). During the campaign, Trump pledged to strengthen US regulations and establish the United States as the global crypto capital.

Under management, Grayscale’s XRP Trust has approximately $16.1 million in assets. According to the filing, American investor accounts seek exposure to XRP “without the expense and complication of purchasing the asset directly” and hold its shares.

Investment trusts are closed-end funds that possess a predetermined number of shares, whereas exchange-traded funds (ETFs) are open-end funds that generate shares in response to investor demand.

ETFs are generally more appropriate investment vehicles to satisfy the demand for an asset like XRP, although this is contingent upon market conditions and investor preferences.

Investor demand for XRP has been notably robust in recent weeks, with the token nearly surpassing its all-time high of $3.40 earlier this month. The price of XRP has increased by over 525% in the past year, currently trading at $3.13.

The launch of the widely popular spot Bitcoin and Ethereum ETFs in the U.S. by major financial institutions, including BlackRock and Fidelity, has fueled investor interest in digital assets, which has surged in recent months.

In recent months, asset managers including Rex Shares, Canary Capital, and 21 Shares have submitted applications to establish XRP exchange-traded funds. At the same time, issuers have resubmitted a set of Solana ETF applications that were previously rejected earlier this month.

Under the crypto-friendly Trump administration, the filings are part of a broader crypto ETF growth. Issuers are also submitting applications to establish funds that track the prices of Chainlink, Cardano, and Polkadot, as well as newer novelty coins like Official Trump (TRUMP) and BONK.

Also Read: Arkansas Senate rejected a crypto mining restriction near military facilities

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