The Head of BlackRock’s ETF Department has clarified that the firm has no plans to launch an XRP ETF, addressing the false news surrounding the matter.
Despite the absence of an XRP Exchange-Traded-Fund from BlackRock, there is a growing interest among several asset managers like 21 Shares and Bitwise.
Jay Jacobs, the Head of BlackRock’s ETF Department, has made it clear that the renowned investment firm currently has no plans to launch an XRP exchange-traded fund (ETF). This clarification came after a wave of speculation last year when a filing in Delaware suggested that BlackRock was launching an XRP ETF, which several media outlets, including The Block, widely reported.
In his recent statements, Jacobs emphasized that BlackRock’s current focus is on its spot Bitcoin and Ethereum ETFs, which they launched early this year, rather than extending similar offerings to other altcoins like XRP. One notable concern is the SEC’s lawsuit against Ripple Labs, the parent company of XRP, which has created uncertainty around the asset’s regulatory status, making it challenging for institutional investors to fully engage with XRP as they might with more established digital currencies.
This incident is not news in the crypto world, where rumors about non-existent ETFs have circulated before. A notable example occurred in April 2021 when an individual impersonated Grayscale to file a fake application concerning two cryptocurrency projects, Nahmii and Theta.
Hope for XRP ETFs Grows Despite SEC Lawsuit
Despite the current lack of an XRP ETF from BlackRock, several asset managers, including Bitwise, Canary Capital, 21Shares, and WisdomTree, have submitted individual applications to the Securities and Exchange Commission (SEC), seeking to launch XRP ETFs in the United States. Analysts suggest that if XRP’s ETF is approved, it could propel Ripple’s price to a new ATH, potentially approaching the $5 mark.
As we reported, the renewed hope stems from Donald Trump’s win in the elections, a vocal supporter of the cryptocurrency space, who has appointed a pro-crypto SEC chairman, Paul Atkins. This move could facilitate a favorable decision regarding the XRP ETF in 2025. Additionally, this positivity is further heightened by Ripple’s imminent launch of the RLUSD stablecoin, which has contributed to recent gains in the XRP market. In the wake of false information, XRP experienced a rapid surge of approximately 15%, rising from $0.6516 to a four-month high of $0.7487 in just two hours. However, this spike was short-lived.
Notably, XRP has witnessed an impressive increase of 250% over the past month, with open interest in XRP futures climbing to nearly $3.99 billion, almost double in just one month. At press time, XRP traded at $2.4, reflecting a 3.50% increase in the last 24 hours. Moreover, XRP’s trading volume has risen by 11.88%, surpassing $10 billion in coin transactions over the same period.
