en
Back to the list

Grayscale Launches First US XRP Trust, ETF Might Follow

source-logo  beincrypto.com 12 September 2024 10:16, UTC

Asset management firm Grayscale is set to launch the first US-based XRP trust, opening the door for a possible exchange-traded fund (ETF). The fund will offer eligible investors direct exposure to Ripple’s native token.

The Bitcoin ETF approval set the stage for other similar financial instruments like Ethereum. While Solana’s ETF prospects diminish, XRP is presenting as a possible next in line.

Grayscale to Pioneer XRP Trust in the US

Fox Business reported a so-called “closed-end” fund expected to offer direct exposure to XRP. Grayscale released the four-stage product life cycle plan for the XRP trust fund, and could pursue regulatory approval to have it converted into an ETF in the future.

Noteworthy, while an ETF demands approval from the Securities and Exchange Commission (SEC) before being presented to retail investors, a trust uses a different structure, with the sales pitch targeted at select investors. This differentiation gives it a lighter regulatory touch and explains Grayscale’s first-mover advantage.

beincrypto.com