The U.S. Securities and Exchange Commission (SEC) has postponed making a decision on 21Shares’s proposal to launch a spot-based XRP exchange-traded fund (ETF).
The holders of the token should not read too much into this delay, given that this is simply a standard practice for the agency.
The SEC actually has multiple windows to eventually make a decision regarding a certain ETF proposal. The review period can last up to a total of 240 days. During this period, the SEC collects opinions from the public and analyzes pertinent data.
The 21Shares filing was originally submitted on March 11. This means that the most recent delay notice is within the normal timeframe. The SEC usually issues such a notice roughly 70 days after the filing.
The SEC has also delayed similar XRP applications from Franklin Templeton Investments and Bitwise earlier this year.
Bitcoin and Ethereum ETFs faced similar postponements in the past before eventually being approved. The SEC has yet to approve any new altcoin ETFs, including Solana-based ones.
Earlier this Tuesday, the SEC also delayed its decision on staking for Bitwise’s spot-based Ethereum ETF.
When will XRP ETFs be approved?
According to Bloomberg, spot-based XRP ETFs are expected to be greenlit by the end of the year. However, it is still possible that an agency could approve them as early as June.
As reported by U.Today, regulated XRP futures went live earlier this week, further legitimizing the token and increasing institutional acceptance. This development bodes extremely well for XRP approval odds.
According to Polymarket bettors, there is an 83% chance of an XRP ETF being approved this year.