Michaela
The U.S. Securities and Exchange Commission (SEC) has reportedly taken a step forward in reviewing proposed rule changes that would allow NYSE Arca to list and trade shares of the Grayscale XRP Trust and other Grayscale products. This move suggests a possible shift in the regulator’s stance on digital assets, even as legal uncertainties persist.
Bloomberg ETF analyst James Seyffart noted that the SEC’s 45-day review period for the Grayscale XRP Trust will officially begin once the proposal is published in the Federal Register. The acknowledgment was widely expected, especially as Ripple and the SEC continue their legal battle over XRP’s regulatory status.
While the SEC’s acknowledgment does not guarantee approval of Grayscale’s ETF proposals, it signals a potential shift in the regulator’s stance toward crypto investment products.
“It means this SEC is being more open-minded and not flat-out refusing to consider these products. Recall, exchanges pulled the $SOL 19b-4 applications in December when the Gensler SEC signaled it would not engage with them,” Fox Business journalist Eleanor Terrett wrote in a post on X following the announcement.
Terrett described the SEC’s acknowledgment as a “good first step,” emphasizing that it signals a possibility for these investment products to move forward.
NYSE Arca filed a 19b-4 form with the SEC last month to seek approval for listing and trading Grayscale’s XRP Trust. Shortly after Grayscale introduced its Dogecoin Trust, NYSE Arca submitted a similar filing on January 31 to facilitate its potential listing.
In addition to its proposed ETF offerings, Grayscale is working to convert several of its existing trusts into exchange-traded funds, including those tied to XRP, Litecoin, and Solana. The asset manager is also seeking regulatory approval to launch a new trust for Cardano.
Should it receive approval, the offering would represent Grayscale’s inaugural investment product specifically dedicated to Cardano.
The 19b-4 filing is an essential part of the procedure for listing a new ETF on an exchange, acting as an official request for a rule amendment. However, approval alone is not enough, as a spot ETF must also obtain an effective S-1 registration statement before it can begin trading.
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
