Ripple CEO Weighs in on Potential XRP ETF Launch

Check about the Ripple CEO discussion on the significant XRP ETF launch

Brad Garlinghouse, Ripple CEO, weighed in on the potential for an XRP exchange-traded fund (ETF) at a recent event at Paris Blockchain Week. Apart from the increasing speculation and regulatory obstacles, he expressed optimism but cautioned that it would take patience to navigate the complex SEC environment. "I believe that crypto ETFs will continue to grow beyond Bitcoin," Garlinghouse said at the event. "Regulatory reservations, especially from the SEC, will likely slow down the process." The SEC has a history of prosecuting crypto projects, such as Ripple, which has cast a cloud over the industry's future.

XRP and Bitcoin are the only cryptocurrencies with clear regulatory status, according to Garlinghouse. A ruling by Judge Analise Torres made the clarity, who ruled that XRP is not a security. Garlinghouse said this clarity makes XRP attractive for inclusion in an exchange-traded fund (ETF) once regulatory barriers are overcome.

Even Garlinghouse encourages it, but other market analysts are pessimistic about the future of an XRP exchange-traded fund. Van Buren Capital's Scott Johnsson questioned the SEC's keenness to approve such an ETF, pointing out that the Commission needs new leadership.

A prediction of the limited scope for ETF approval other than Bitcoin and Ethereum was made by the CEO of Ark Invest, Cathie Wood, who gave similar sentiments. Based on the SEC's history of not recognizing cryptocurrencies outside of the top two players in the market, Wood's opposition.
James Seyffart, a Bloomberg analyst, identified the significant obstacles to the XRP ETF launch aside from regulatory concerns, which are one of the biggest challenges in regulated markets such as the CME. The US SEC's refusal to approve Bitcoin Spot ETFs in the past due to their susceptibility to market manipulation underlines the importance of regulatory oversight and market integrity. One of the ways to accelerate the launch of XRP ETFs is by listing XRP futures on regulated exchanges like the CME Group. Similar to the way Bitcoin ETFs were approved after Bitcoin futures were listed on CME, a similar process could set the stage for the XRP ETF. Leveraging the CME's regulatory oversight, issuers could address market manipulation concerns and strengthen their case for ETF approval. The CEO and co-founder of Ripple, Brad Garlinghouse, is optimistic about the XRP ETF's future. Regulatory uncertainty is still a significant worry, though.

For some time now, the cryptocurrency XRP, most recognized for its affiliation with Ripple Lab, has been consolidating. Positive sentiment has been seen in the cryptocurrency industry, particularly in the XRP domain, following the recent approval of 11 Bitcoin Spot ETFs. But there are still difficulties.