XRP Spot ETF, Approval Towards Full-Scale Review Phase Entry

The United States Securities and Exchange Commission (SEC) has started an official review of the XRP Spot Exchange-Traded Fund (ETF) proposal submitted by WisdomTree, and evaluations suggest that the possibility of approval has increased. According to multiple media outlets such as CoinGape on the 28th (local time), the SEC has initiated a public opinion-gathering process to determine whether the ETF meets the requirements of securities law.

This review is based on an application submitted by the Chicago Board Options Exchange (Cboe BZX), and the SEC is receiving public feedback on investor protection and market manipulation prevention measures through a disclosure (Release No. 34-103124). This indicates that the ETF proposal has entered the advanced review stage in accordance with Section 19(b)(2)(B) of the law.

If the ETF is finally approved, it is highly likely to become the first XRP spot ETF in the United States. Stuart Alderoty, Ripple's Chief Legal Officer, emphasized the importance of legal compliance and regulatory clarity in a recent opinion submitted to the SEC, urging the establishment of clear guidelines to reduce confusion.

This move coincides with the improved regulatory environment following Ripple's partial victory in a lawsuit with the SEC last March. As a result of this lawsuit, XRP was included in future ETF products at CME after BTC and ETH, and there is growing anticipation for adoption within the mainstream financial system.

The SEC plans to conduct a comprehensive review of the structural stability, risk level, market impact, and other factors of the WisdomTree ETF and whether it is a trustworthy product for investors, which is expected to be a key criterion for approval. The industry sees this SEC review progress as a decisive opportunity to increase the possibility of XRP ETF approval, with the approval probability currently estimated at approximately 83%.