Ripple’s XRP ETF nears breakthrough: SEC acknowledges new Bitwise filing

SEC’s Bitwise XRP ETF Approval Fuels Speculation About Ripple Lawsuit Dismissal

The U.S. Securities and Exchange Commission (SEC) recently signaled a positive shift in its stance on XRP-based Exchange Traded Funds (etfs) by approving Bitwise’s spot XRP ETF 19b-4 filing. This marked the third such approval, following similar greenlights for applications from Grayscale and 21Shares. While Canary Funds and Wisdom Tree submissions await final approval, the SEC’s decision has ignited speculation about the potential for the agency to drop its ongoing lawsuit against Ripple.

Bloomberg ETF analyst Eric Balchunas, citing finance lawyer Scott Johnson, highlighted the meaningful implications of this move in a recent podcast. “Scott Johnson thought this was a direct sign that thay would have to rescind thes lawsuits. You can’t approve it if you see it as a security,” Balchunas stated, emphasizing the seeming contradiction between the SEC’s approval and its previous classification of XRP as a security.

Expert Insights and Market Implications

Johnson,known for his accurate predictions concerning crypto ETFs,believes the SEC’s approval of XRP-based ETFs directly contradicts its stance in the Ripple lawsuit. This suggests a potential reevaluation of XRP’s status as a security, with the possibility of the lawsuit being dismissed.

Furthermore, prediction platform polymarket pegs the odds of XRP ETF approval by the end of 2025 at a robust 78%, underscoring the growing belief that SEC’s stance on XRP is evolving.

What This Means for Ripple and XRP Investors

While the SEC’s decision is a significant development, it’s crucial to remember that the lawsuit is ongoing.However, the increasing likelihood of the SEC dropping the case could have profound implications for Ripple and XRP investors:

• Increased Confidence: The approval of XRP ETFs and the potential dismissal of the lawsuit could bolster investor confidence in XRP, leading to increased adoption and price appreciation.
• Global Expansion: Ripple’s technology and XRP could see expanded adoption in the global financial system,paving the way for greater cross-border payments and financial inclusion.
• Regulatory clarity: A positive resolution could provide much-needed regulatory clarity for the cryptocurrency industry,fostering a more stable and clear surroundings for investors.

The SEC’s recent actions signify a potential turning point in the saga of Ripple and XRP. While the future remains uncertain, the approval of XRP ETFs and the growing chorus of voices calling for the dismissal of the lawsuit suggest a brighter horizon for the future of this popular cryptocurrency.

What are the potential implications of the SEC’s approval of bitwise’s spot XRP ETF filing for Ripple’s ongoing lawsuit?

SEC’s Bitwise XRP ETF approval: A Turning Point in Ripple’s Legal Woes?

Archyde recently sat down with cryptocurrency and securities lawyer Alexandra “Alex” Hartley, partner at HartStrong LLP, to discuss the recent developments surrounding the U.S. Securities and Exchange Commission’s (SEC) approval of Bitwise’s spot XRP ETF filing and its potential implications for Ripple’s ongoing lawsuit.

Interview with Alexandra “Alex” Hartley

Archyde:

Alex, thanks for joining us today. Let’s dive right in.The SEC’s recent approval of Bitwise’s XRP ETF filing has sparked speculation that the agency might drop its lawsuit against Ripple. What’s your take on this?

Alex:

Thank you for having me. Yes, the SEC’s approval decision, following similar approvals for Grayscale and 21Shares, has certainly raised eyebrows in the crypto community. These approvals suggest that the SEC no longer sees XRP as a security, or at the very least, that they are willing to tolerate XRP-based investments in ETFs despite their previous stance in the Ripple lawsuit.

Archyde:

But isn’t there a risk of contradiction here? The SEC previously filed a lawsuit against Ripple,alleging that XRP is a security. Now, they’re approving etfs based on the same asset.

Alex:

That’s a valid point, and it does seem contradictory at first glance. However, it’s worth noting that the division of Investment Management and the Division of Corporate Finance, which handle ETF applications, operate independently from the Division of Enforcement, which brought the lawsuit against Ripple. This means that while one division may view XRP as a security due to the lawsuit, another may not necessarily share that view when it comes to ETF approvals.

Archyde:

That clears up some of the confusion. Now, what do you think this means for Ripple and XRP investors?

Alex:

Well, first and foremost, this is a clear signal that the SEC is not uniform in its stance on XRP. This could possibly pave the way for a re-evaluation of the asset’s classification in the ongoing lawsuit. For investors,this could boost confidence in XRP,leading to increased adoption and potentially driving up the price.

Archyde:

Absolutely. Additionally, prediction platform Polymarket has XRP ETF approval odds at 78% by the end of 2025. How might these approvals impact the cryptocurrency industry as a whole?

Alex:

If we continue to see XRP ETF approvals, it could signify a shift in the SEC’s stance on cryptocurrencies in general. This could lead to increased institutional investment, more regulatory clarity, and a more stable surroundings for investors. Moreover, it could encourage other cryptocurrencies to pursue ETF listings, further legitimizing the industry.

Archyde:

in your expert opinion,then,what does the future hold for Ripple and XRP?

Alex:

The future is still uncertain,but I believe we’re seeing a positive turning point. The approval of XRP ETFs, coupled with the growing chorus of voices calling for the dismissal of the lawsuit, suggests a potential bright horizon for ripple and XRP. However,it’s crucial to remember that the lawsuit is ongoing,and we’ll have to wait for further developments to see how this plays out.

That’s all we have time for today. Thank you, Alex, for your insightful commentary.

Alex:

Thank you for having me. It’s always a pleasure discussing these topics.