SEC Delays Decision on Franklin XRP ETF
The U.S. Securities and Exchange Commission has given itself more time to look over the Franklin XRP ETF application. The new deadline is November 14, 2025. The proposal was first filed in March and asks for permission to be listed on the Cboe BZX Exchange as a commodity-based trust share.
This is the second delay, after the April delay and the start of the June proceedings. The Commission must make a decision within 180 days by law. The decision extension gives the SEC more time to fully review the proposed rule change. People who watch the market think that the delay is a sign of a cautious regulatory approach rather than a full rejection.
Institutional Interest Expands Rapidly
Several asset managers filed papers asking for permission to create XRP-based exchange-traded products. This shows that institutional investors are very interested in regulated crypto investment vehicles. Grayscale, Bitwise, WisdomTree, Franklin Templeton, 21Shares, and other companies are trying to give investors a wide range of exposure.
The shift of Grayscale’s XRP Trust into an ETF format is an example of how people are becoming more confident that regulators will accept these types of investments. When institutions get involved, it shows that there is a lot of demand. This makes people think that XRP is the next big thing after Bitcoin and Ethereum ETFs get approved around the world by traditional financial players.
Market Optimism Surges Despite Delay
The SEC is being careful, but traders and analysts are still very positive about the approval of the XRP ETF. Polymarket, a prediction market, priced implied probability for approval at over ninety percent. This shows that investors’ expectations are increasingly in line with positive regulatory outcomes.
Amendments sent in by asset managers add to the optimism, showing that they are talking to SEC staff. Historically, such changes come before approvals, which suggests progress. Analysts point out that the current delays are more like the ones that happened with previous Bitcoin and Ethereum ETFs, which supports the idea that they are just procedural steps and not major problems.
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Analysts Keep Strong Approval Predictions
Bloomberg ETF experts James Seyffart and Eric Balchunas predict a 95% chance of approval for the XRP ETF, indicating a strong investor demand. Nate Geraci agrees, with a close to 100% probability of belief approval. These predictions increase investor optimism, emphasizing the importance of regulatory engagement.
The high chances of approval encourage capital inflows and the wider adoption of regulated frameworks, making mainstream investment vehicles more accessible globally. The XRP ETF’s availability is expected to encourage capital inflows and facilitate the adoption of regulated investment vehicles.
XRP Ready for the Next ETF Milestone
Analysts say that XRP is the next logical step in the growth of regulated cryptocurrency investments now that Bitcoin and Ethereum ETFs have been approved. XRP’s established market presence and liquidity profile make it a good candidate for an investment-grade asset, which is a natural step after earlier approvals.
The XRP ETF would give institutional investors direct, regulated access, which would help them diversify their portfolios. If more people accepted XRP, it would be adopted faster, which could make markets more stable and increase liquidity. Expansion shows that cryptocurrencies are becoming more and more a part of mainstream investments, thanks to strong institutional demand around the world.
Regulatory Caution Affects Final Outcome
The SEC is still cautious, even though things look good. Delays show that the regulator is carefully looking at the possible risks of new investment vehicles linked to cryptocurrencies. The main goal is still to protect investors while allowing for innovation in the industry. People who watch the market say that transparency and disclosure requirements are still very important.
Regulatory prudence shows that the goal is to find a balance between new ideas and safety. The SEC says that a thorough evaluation is very important for credibility. This kind of caution dampens optimism and reminds investors that the results depend on thorough reviews. The delay shows how hard it is for regulators to keep up with markets that change quickly while still protecting investors’ interests.
What Will Happen Next for XRP ETF Approval
The XRP ETF’s approval could make the cryptocurrency more legitimate in regulated financial markets, potentially attracting significant funding from institutions. The decision could also impact the direction of other products like Solana ETFs.
While short-term excitement may be diminished by failure or delays, the long-term trend of institutions adopting the technology remains strong. The November decision will significantly impact how crypto interacts with traditional finance worldwide, making XRP more widely accepted and widely used.
