Key Notes

Key Notes:

The US Securities and Exchange Commission (SEC) has acknowledged Grayscale’s filings for spot XRP and Dogecoin exchange-traded funds (ETFs), marking the start of a formal review process.As part of the review process, the SEC has launched a 21-day public comment period, allowing market participants to express their views on the proposed ETFs before the agency decides on approval, denial, or an extended review.Despite the acknowledgement, the SEC is still embroiled in a legal battle with Ripple over the classification of XRP.

The United States Securities and Exchange Commission (SEC) has officially accepted Grayscale‘s application for spot XRP and Dogecoin exchange-traded funds (ETFs).

The SEC’s acknowledgment marks the beginning of the formal review process for Grayscale’s ETF proposal. While this is only an initial step in a complex regulatory journey, it indicates the agency’s willingness to evaluate the feasibility and market impact of a spot XRP and Dogecoin ETF.

Ripple CEO Brad Garlinghouse weighed in on the acknowledgment, saying it reinforced what he had long believed — that an XRP ETF was only a matter of time.

He pointed out that while many were skeptical of his prediction at first, it’s now starting to unfold just as he expected.

Under the previous administration, the SEC largely dismissed similar ETF proposals, prompting many asset managers to withdraw their applications for similar funds.

FOX Business journalist Eleanor Terrett highlighted on X that such dismissals, particularly under the leadership of Gary Gensler, discouraged firms from pursuing ETF approvals for cryptocurrencies like Solana.

🚨SO, for everyone asking what this means — the SEC has *acknowledged* @Grayscale/@NYSE’s 19b-4 application to convert its $XRP Trust into an ETF.

No, it doesn’t mean automatic approval and it doesn’t even guarantee the SEC will approve it down the line.

So why is it notable?… https://t.co/GICXgobYsZ

— Eleanor Terrett (@EleanorTerrett) February 13, 2025

Grayscale itself had to fight the SEC in the courtroom to secure approval for converting its Bitcoin Trust into an ETF.

However, the SEC’s recent acknowledgment of Grayscale’s XRP and Dogecoin filings suggests a possible shift in its regulatory stance, possibly influenced by the re-election of a pro-crypto president. Notably, the SEC is currently chaired by Mark T. Uyeda on an interim basis, with Paul Atkins set to assume the role in the near future.

As part of its review, the SEC has opened a 21-day public comment period, allowing market participants to share their perspectives on the proposed ETFs. Once the comment period ends, the agency will decide whether to approve or deny the applications.

The push for additional digital asset ETFs follows the SEC’s landmark approval of spot Bitcoin and Ethereum ETFs in January 2023. That decision set a precedent for further applications, leading firms like Grayscale and Bitwise to submit ETF proposals for XRP XRP $2.58 24h volatility: 1.5% Market cap: $149.51 B Vol. 24h: $2.20 B and Dogecoin DOGE $0.25 24h volatility: 4.1% Market cap: $36.59 B Vol. 24h: $1.02 B .

Meanwhile, Canadian asset manager Purpose Investments has also applied for an XRP ETF, seeking approval from Canadian regulators to offer exposure to the digital asset.

Grayscale’s XRP ETF application comes at a time when the SEC remains locked in a legal battle with Ripple over whether XRP should be classified as a security. In January 2025, the SEC challenged a July 2023 court ruling that partially dismissed claims against Ripple, arguing that non-cash XRP distributions such as those used for employee compensation and business incentives should fall under securities regulations under the Howey framework.

Despite the ongoing litigation, Bloomberg ETF analysts James Seyffart and Eric Balchunas estimate that Dogecoin has a 75% chance of ETF approval, while XRP stands at around 65%, with both decisions expected by the end of 2025.

Market experts suggest that XRP’s approval process could face more regulatory resistance due to its ongoing legal scrutiny. By contrast, Dogecoin is expected to have a smoother path to approval, as it has not been classified as a security and shares similarities with Bitcoin, which has already secured ETF approval.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

Chimamanda is a crypto enthusiast and experienced writer focusing on the dynamic world of cryptocurrencies. She joined the industry in 2019 and has since developed an interest in the emerging economy. She combines her passion for blockchain technology with her love for travel and food, bringing a fresh and engaging perspective to her work.

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