- The SEC has acknowledged Bitwise’s XRP ETF application.
- The SEC has opened a 21-day window for public comments and a 240-day review period.
- While many are hopeful, some analysts argue that XRP may face difficulties.
In a filing made on Tuesday (February 18), the U.S. Securities and Exchange Commission (SEC) acknowledged the XRP Exchange-Traded Fund (ETF) application submitted by the Cboe BZX Exchange on behalf of asset manager Bitwise.
The filing opens a 21-day window for public comments once it’s published in the SEC’s federal register. Plus, a 240-day review period has started, and the SEC must decide whether to approve the ETF application by the end of this period.
Related: Ripple CTO Challenges Bitcoin Supply Scarcity Claims in Heated Debate
XRP ETF Approval Process Gains Momentum
This acknowledgment is seen as a major step forward for XRP ETFs, as the SEC has already reviewed similar applications from other major players, including 21Shares and Grayscale. However, Canary Capital and WisdomTree are still awaiting acknowledgment.
The Bitwise filing has added to growing excitement within the crypto community, with many now speculating that XRP and Solana ETFs could be approved in the near future. Experts believe that approval of these ETFs could boost XRP’s price, similar to the way Bitcoin ETFs have influenced the market.
Related: Barring SEC Uncertainty, RSI Indicator Signals an Imminent Rebound For XRP
Analysts Give XRP ETF 65% Approval Odds
Some analysts remain skeptical about the long-term prospects for XRP ETFs. Bloomberg analysts James Seyfarrt and Eric Balchunas predict that XRP ETFs have a 65% chance of SEC approval, given the agency’s ongoing legal battle with Ripple.
On the other hand, Eric pointed out that the most important altcoin ETF filing is Litecoin. Since Litecoin is similar to Bitcoin, it’s considered a commodity. This application was made during the SEC’s time under Gary Gensler, and if anything was seen as a security, they were told to withdraw.
However, Litecoin didn’t get that warning, giving it an advantage. With the SEC now being more flexible, Litecoin has a high chance of approval, around 90%. The SEC will make a decision by October, but it’s unclear if they’ll take that long.
SEC Review of XRP & Solana ETFs “Good Sign”
As for Solana and XRP, he said that it’s big news that the SEC has acknowledged their applications. In the past, their applications were rejected or withdrawn, especially under Gensler.
The fact that they’re now being reviewed is a good sign. Some believe this could mean the SEC might rethink its approach to some crypto lawsuits, though that’s still uncertain.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
