Franklin Templeton, a major player in the investment sector, has made notable strides in its pursuit of a spot XRP ETF. The firm’s application with the U.S. Securities and Exchange Commission (SEC) has achieved a key milestone after a significant adjustment. By updating their application on November 4, Franklin Templeton removed a crucial clause, Section 8(a), which permits the SEC a delay mechanism that could otherwise stall approval. This change could allow the ETF to be automatically implemented after a brief 20-day window.
What Prompted the Swift Action?
The recent update to the application was highlighted by ETF analyst James Seyffart, who described it as a calculated effort to speed up the approval timeline. The elimination of Section 8(a) is particularly strategic, ensuring the process progresses smoothly despite potential government interruptions. This amendment is seen as a potential catalyst for the ETF’s automatic introduction, easing a principal ambiguity in obtaining SEC approval.
Franklin Templeton’s aggressive push to introduce the XRP ETF reflects a substantial upsurge in institutional interest surrounding XRP. As asset managers look to broaden their portfolios beyond the usual Bitcoin and Ethereum investments, XRP emerges as a candidate with promising utility, especially given Ripple‘s ongoing growth in global payment networks.
Will Interest in XRP Continue to Rise?
The company’s proactive endeavors align with similar movements from Bitwise and Canary Funds, both of whom are accelerating their own XRP ETF filings. Notably, Canary Funds anticipates a November 13 unveiling for its ETF, with Bitwise having revealed its listing intentions. These developments point to an evolving perception of XRP as not only a digital asset but also as a potential key player in financial systems’ payment frameworks.
Despite the mounting excitement, XRP’s market value hasn’t yet reflected these advances in the short term. XRP prices have dipped by 0.94% recently, settling around $2.24, according to data. Market leaders suggest this stagnation stems from investors holding out for formal SEC sanctioning. Upon approval, they suggest a surge towards XRP’s previous peak of $3.80 could occur.
Key Developments
- •Franklin Templeton’s removal of Section 8(a) accelerates the ETF approval process.
- •The strategic update aims to mitigate delays, particularly during any government shutdowns.
- •Ripple’s role in international payments bolsters institutional interest in XRP.
- •Bitwise and Canary Funds are also expediting their own XRP ETF plans.
While XRP enthusiasts await SEC’s green light, the anticipation builds for a potentially transformative period in the cryptocurrency’s market trajectory.