As the coin surpasses $2.75, the CEO of Ripple responds to the SEC’s recognition of the XRP ETF.

Regulatory Momentum Builds for XRP ETF Approval

The path toward a U.S. Securities and Exchange Commission (SEC) approval of a spot XRP exchange-traded fund (ETF) is officially underway. Despite the prolonged legal battle between Ripple Labs and the SEC, market analysts believe that the reshaped regulatory landscape could lead to the eventual dismissal of the lawsuit, paving the way for XRP’s institutional adoption.

A Valentine’s Day Surprise: SEC Acknowledges XRP ETF Filing

In a notable development on February 14, the SEC formally acknowledged a filing for a spot XRP ETF. This acknowledgment marks the beginning of a review process that could culminate in either approval or rejection. The filing, submitted by Grayscale and the New York Stock Exchange, now places the SEC on a 240-day timeline to make a final decision.

XRP ETF Gains Momentum in 2025

The demand for a spot XRP ETF has been growing throughout 2025, fueled by the cryptocurrency’s strong performance in the latter part of the previous year. While XRP has consistently ranked among the top ten cryptocurrencies by market capitalization, its price action has historically lagged behind its peers. However, following Donald Trump’s election victory, investor sentiment took a positive turn, reigniting interest in an XRP ETF.

Market Reaction: XRP Price Surges 13%

Following the SEC’s acknowledgment of the filing, XRP’s price surged by 13% in the past week, reflecting renewed investor confidence. Fund managers are capitalizing on the current administration’s pro-crypto stance, pushing for additional spot ETFs beyond Bitcoin and Ethereum. The success of these existing products has set a precedent that strengthens the case for an XRP ETF.

Broader Institutional Interest in Crypto ETFs

The SEC’s acknowledgment of the XRP ETF follows a similar development earlier in February, when a Solana ETF filing was made public. Additionally, institutional players have submitted applications for spot ETFs covering Litecoin, Solana, and Dogecoin. Bloomberg analysts James Seyffart and Eric Balchunas suggest that these applications stand a strong chance of approval, given the shifting regulatory sentiment.

Conclusion: A Defining Moment for XRP and Crypto ETFs

With the SEC now formally considering an XRP ETF, the next few months will be crucial for the cryptocurrency market. As institutional demand for crypto-based financial products continues to grow, the approval of a spot XRP ETF could mark a transformative moment for both the asset and the broader industry. Investors and market participants will be closely watching the SEC’s next moves as the review process unfolds.

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