XRP ETF Proposals Lead 2024 SEC Crypto ETF Rush

The XRP ETF is gaining traction as the US Securities and Exchange Commission (SEC) faces a record number of cryptocurrency ETF applications in 2024. With 72 proposals under review, the market is witnessing a wave of optimism, as major cryptocurrencies like XRP, Solana (SOL), and Dogecoin (DOGE) take center stage along with a handful of more speculative digital assets.

This surge in applications for cryptocurrency-based exchange-traded funds indicates a broadening acceptance of digital assets within traditional investment circles. The applications span a range of tokens—from well-known players like XRP and DOGE to trendy meme coins like Bonk (BONK), Official Trump (TRUMP), and Official Melania (MELANIA)—signaling increasing demand for mainstream exposure to crypto markets.

New SEC Head Poised to Shape Crypto ETF Landscape

Bloomberg ETF expert Eric Balchunas forecasted a turbulent year ahead, stating that 2025 could be a “wild” phase for the digital asset sector. However, much of the groundwork is being laid in 2024 under the leadership of the newly appointed SEC Chairman Paul Atkins.

Atkins, recently confirmed by the Senate, has a history of advocating for deregulation during his previous tenure at the SEC. Now at the helm, he’s expected to navigate a complex environment involving the classification of digital tokens. One critical factor will be determining whether specific cryptocurrencies can be treated as commodities, allowing them to trade as commodity-based assets similar to gold ETFs.

Last year under Gary Gensler, the SEC broke new ground by greenlighting spot Bitcoin and Ethereum ETFs. That decision opened the floodgates for other crypto assets aiming for ETF approval—a trend that continues to gather momentum in 2024.

Meanwhile, acting SEC Chair Mark Uyeda had previously clarified through the Commission’s February statement that most meme coins generally fall outside the definition of securities, making them potentially easier to list as exchange-traded products.

Growing Momentum Behind XRP ETF Filings

XRP ETF applications have become a focal point, as numerous leading asset managers, including Grayscale, 21Shares, Bitwise, CoinShares, Canary, WisdomTree, and Franklin, have formally submitted S-1 filings with the SEC. With over 10 investment firms now participating in the proposed XRP funds, industry momentum appears strong.

In parallel, top US exchanges like Cboe and NYSE Arca have filed 19b-4 forms with the SEC requesting approval to list and trade shares of XRP ETFs. These filings are a crucial step in bringing such products to the public markets.

Investors and analysts are betting heavily on the likelihood of these approvals. Data from prediction platform Polymarket currently pegs the odds of an XRP ETF gaining SEC approval in 2024 at around 70%, reflecting heightened optimism within the crypto investment community.

Beyond XRP, applications for Solana and Dogecoin ETFs also underscore the growing appetite for diversified crypto exposure. Their inclusion in the wave of pending proposals highlights the maturing view that these assets have staying power in broader financial markets.

Related: $2.3 Trillion Liquidity Shock: Franklin Templeton Says XRP Is Next in Line for Massive Inflows

As the SEC prepares to make decisions that could reshape the digital asset investment landscape, market watchers and investors alike are closely monitoring how these 72 proposals unfold. ETF approval would not only allow broader participation in crypto but could also catalyze significant price movement and adoption across the board.