Thomas Daniels
Ripple (XRP) seems to be laying the foundation for a potential XRP exchange-traded fund (ETF) in the future.
The company recently advertised a vacancy for a Senior Manager for Business Development, specifying a crucial responsibility as leading initiatives related to cryptocurrency ETFs with internal trading groups and external partners. This move has sparked discussions in the cryptocurrency sector about whether Ripple is adjusting its strategy to align with the dynamic world of crypto.
This strategic shift comes at a time when Ripple is embroiled in a significant legal battle with the U.S. Securities and Exchange Commission (SEC). This confrontation is widely believed to potentially lead to more defined regulations and pave the way for the approval of additional crypto ETFs, including those beyond Bitcoin’s current spot ETF.
Observers in the field of crypto analytics and journalism have been quick to analyze the implications of this development. On January 27, the digital currency analysis platform, Good Morning Crypto, highlighted the importance of this detail in the Ripple job listing. Following this, Eleanor Terrett of Fox Business commented on the post, suggesting that this hire might be an initial step towards launching an XRP ETF. However, she also highlighted the need for a Ripple futures ETF as a precursor for an XRP spot ETF’s approval, citing the example set by the approval of Bitcoin futures at the Chicago Mercantile Exchange (CME), crucial for the SEC’s endorsement of Bitcoin spot ETFs.
Colin Wu, a cryptocurrency journalist, resonated with Terrett’s views, underlining the importance of this job listing in relation to the expected application for an XRP ETF.
James Seyffart from Bloomberg had previously pointed out the necessity of listing XRP futures on a significant derivatives exchange like the CME before an XRP ETF could gain SEC approval. This is because having XRP on CME would provide a foundation for the ETF, fulfilling a key criterion for its endorsement.
Despite these developments, XRP’s market performance reflects the challenges it faces amid regulatory uncertainties. According to CoinGecko, XRP’s value has decreased by over 16% in the past 30 days, with a 7.3% decline in the last two weeks and a 3.2% drop in the past week. However, there was a slight uptick of 1% in its price in the last 24 hours, accompanied by a trading volume of $637.9 million.
