- Franklin Templeton filed for an XRP ETF and will use Coinbase Custody to store its XRP holdings.
- The SEC delayed its decision on XRP ETF applications and set a new deadline for May 21, 2025.
- XRP price increased by more than 3% after Franklin Templeton’s filing as investors reacted to the news.
Franklin Templeton has filed an S-1 registration with the US Securities and Exchange Commission because the firm wants to launch an XRP exchange-traded fund. The ETF will trade on the Cboe BZX Exchange while Coinbase Custody will store its XRP holdings.
The filing states that the fund will track the price of XRP before expenses so Franklin Templeton now joins other firms waiting for approval. These firms include Bitwise, Grayscale, 21Shares, Canary Capital, WisdomTree and CoinShares.
SEC Extends Review Period for XRP ETF Applications
The SEC has delayed its decision on the XRP ETF applications from Canary Capital and Grayscale since the regulator needs more time to review the proposals. It has set a new deadline of May 21, 2025, so applicants will have to wait longer.
The agency had already acknowledged filings from multiple firms which suggests it may soon review Franklin Templeton’s application. Once a filing is acknowledged, the SEC has 240 days to make a decision so the timeline remains uncertain.
Chances of Approval for XRP ETFs
Analysts from Bloomberg predict a 65% chance of XRP ETF approval in 2025 since the SEC has already approved Bitcoin and Ethereum ETFs, which raises hopes for XRP. However, XRP’s past regulatory issues could still affect the decision so the outcome remains uncertain.
Franklin Templeton recently applied for a Solana ETF and the firm also offers Bitcoin and Ethereum ETFs. More firms are filing for crypto ETFs as interest in regulated products grows and competition intensifies.
XRP’s price increased after Franklin Templeton’s filing because the cryptocurrency rose by over 3% in the past 24 hours. It had briefly dropped below $2 but made a strong recovery while investors continue to watch closely as they wait for the SEC’s final decision on XRP ETFs.