21Shares files S-1 application for an XRP ETF
21Shares has filed an application with the SEC for a spot XRP ETF, submitting an S-1 form to register its Core XRP Trust shares for listing on the Cboe BZX Exchange. Coinbase will act as the fund’s custodian. The Core XRP Trust aims to track XRP's price without leveraging or using derivatives, mirroring the CME CF Ripple-Dollar Reference Rate after expenses. It provides indirect access to XRP through traditional brokerage accounts, minimizing risks associated with direct XRP holdings. The approval of an XRP ETF faces challenges due to the SEC's ongoing legal battle with Ripple Labs over unregistered XRP sales. Despite a favorable 2023 ruling stating XRP is not a security when sold on exchanges, the case is under appeal. Other firms, including Canary Capital and Bitwise, are also seeking approval for spot XRP ETFs, indicating strong institutional interest amid regulatory uncertainties.
