The US Securities and Exchange Commission is expected to accept the application of Grassscale Investments to convert its XRP Trust into a spot exchange-traded fund on Thursday, 13 February.
This expectation stems from SEC’s specific 15-day window to respond to the 19B-4 filing, which is presented on Grayscale 30 January, According To Allenore Terit.
The objective of Grassscale’s initiative is to change its existing XRP Trust, which currently manages a $ 16.1 million assets in the ETF listed on the New York Stock Exchange.
The move allows investors to trade funds shares, which provides exposure to XRP (XRP) without complications of direct cryptocurrency ownership.
The upcoming decision of SEC can provide significant insights into the agency’s current stance on XRP, especially in view of its historical legal disputes with Ripple, the company behind XRP.
A federal court had earlier determined that there is no XRP security on trading on secondary markets, a decision that could affect SEC’s approach to related financial products.
High probability of approval
Polymercate bookies estimate SEC 81% probability Will approve This year a spot XRP ETF. The result of the ongoing legal battle with SEC remains an important factor in this evaluation.
The price of XRP has fallen by about 30% from its January summit, which is entering a bear market as a daily trading volume and a futures are a decline in open interest.
