The spotlight is now on XRP after its futures contracts on the CME Group became the fastest ever to reach $1 billion in open interest. Experts are predicting that this momentum could soon translate into strong demand for XRP ETFs, especially following the legal resolution in the Ripple vs SEC case.
Why XRP ETFs Are Gaining Attention
The potential approval of spot XRP ETFs has gained momentum. Nate Geraci, President of NovaDius Wealth Management and host of the ETF Prime Podcast, believes that the demand for these ETFs is likely to be much higher than many investors anticipate.
Geraci highlighted the impressive adoption of XRP futures:
-
XRP futures reached $1 billion in open interest faster than any other CME crypto futures contract.
-
Over $800 million in futures-based XRP ETFs are already active, showing strong investor interest.
This strong performance in futures markets signals that, if spot XRP ETFs receive SEC approval, they could see massive inflows from eager investors.
Who Is Filing for Spot XRP ETFs
Several major financial firms are seeking SEC approval to launch spot XRP ETFs, including:
- Bitwise
- Canary Capital
- WisdomTree
- 21Shares
- CoinShares
- Franklin Templeton
- Grayscale
The SEC has extended review periods for some applications. For example, WisdomTree’s XRP ETF review now extends until October 24, 2025, while Franklin Templeton’s deadline is next month. By October, the SEC must decide whether to approve or reject these proposals.
Experts Are Optimistic About Approval
Market experts are betting on an imminent green light for spot XRP ETFs. Key reasons include:
-
SEC’s precedent: Last year, the agency approved multiple spot Ethereum ETFs after previously approving futures-based ETFs.
-
Pro-crypto regulatory stance: The current administration has shown support for crypto-friendly policies.
-
Positive feedback from the SEC: Recent amended filings by fund managers suggest constructive guidance has been received.
Bloomberg analyst James Seyffart echoed Geraci’s optimism, noting that the filings indicate a strong likelihood of eventual approval.
XRP Community Could Drive ETF Success
The influence of the XRP community, often called the “XRP Army,” could be a game-changer. Pro-crypto lawyer John Deaton predicts significant demand for XRP ETFs, drawing parallels to the popularity of Gemini’s XRP credit card.
Some highlights of XRP’s community support include:
-
Over 75,000 XRP holders from 143 countries joined as amici curiae in the Ripple SEC lawsuit—a record-breaking global movement.
-
XRP holders contributed to the Gemini App surpassing Coinbase in downloads in recent months.
Such active community engagement indicates that if spot XRP ETFs launch, the XRP Army could play a crucial role in driving strong inflows.
Final Thoughts
With legal clarity, strong futures performance, and active community support, XRP is positioned for a potential surge in ETF demand. Investors are closely watching regulatory decisions, and the coming months could mark a major milestone for XRP in the traditional finance world.
Also Read: Solana Price Forecast: Could a 55% Rally Be Ahead as Stablecoin Growth Accelerates?
FAQs
1. What makes XRP ETFs attractive to investors?
XRP ETFs are appealing because they provide exposure to XRP without holding the token directly. The strong adoption of XRP futures and the active community support increase confidence in potential returns.
2. Who has applied to launch spot XRP ETFs?
Firms like Bitwise, WisdomTree, Grayscale, and Franklin Templeton have filed with the SEC to offer spot XRP ETFs, showing broad institutional interest.
3. How fast did XRP futures reach $1 billion in open interest?
XRP futures became the fastest crypto futures to hit $1 billion in open interest on CME Group, achieving this milestone in just over three months.
4. What role does the XRP community play in ETF success?
The XRP Army has proven its influence through coordinated global actions, app adoption support, and engagement in legal cases, suggesting it could drive strong ETF inflows.
5. When will the SEC make a decision on XRP ETFs?
The SEC’s final review deadlines for these ETFs are in October 2025, by which time it must approve or reject the proposals.