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Ripple CEO Brad Garlinghouse comments on prospects of XRP ETF

source-logo  cryptopolitan.com 21 February 2024 12:18, UTC

In a recent interview with Bloomberg on February 20, Ripple CEO Brad Garlinghouse addressed the growing speculation surrounding the potential launch of an XRP exchange-traded fund (ETF). With the recent approval of the first cryptocurrency spot ETFs for Bitcoin, Garlinghouse expressed optimism about the possibility of similar products for XRP.

Garlinghouse foresees expansion of the crypto ETF market

Drawing parallels to the early days of the stock market, Garlinghouse highlighted the demand for diversified exposure to minimize risk. He commented, “I think we will see other ETFs. It makes these markets safer.” This sentiment aligns with the broader trend in the cryptocurrency industry, where investors are increasingly seeking regulated investment vehicles.

Ripple’s position on XRP ETFs

When questioned about Ripple’s stance on launching its own XRP ETF, Garlinghouse responded positively, indicating that XRP ETFs are inevitable. He emphasized the likelihood of seeing baskets of crypto ETFs in the future.

However, he refrained from providing a direct confirmation, stating, “I’m not going to comment on that.” Instead, he pointed out the potential benefits of such a development to the XRP community.

BlackRock’s potential involvement

The interview also discussed whether Ripple was in discussions with prominent issuers like BlackRock regarding the launch of an XRP ETF. While Garlinghouse neither confirmed nor denied talks with BlackRock, he acknowledged that such collaboration would benefit the XRP community.

He stated, “I know BlackRock has said some things publicly. We think it makes sense for the XRP community overall.”

Caution regarding timeline

Garlinghouse exercised caution when discussing the timeline for introducing an XRP ETF. He emphasized the unpredictability of regulatory decisions, noting that it took a court decision to prompt the SEC to approve Bitcoin spot ETFs. This cautious approach reflects the uncertainty surrounding regulatory approval processes in the cryptocurrency space.