Grayscale Seeks SEC Approval to Transition XRP Trust Into a Spot ETF

Grayscale Submits SEC Filing to Convert XRP Trust Into ETF

Grayscale Investments has taken a major step toward expanding institutional access to XRP by filing with the U.S. Securities and Exchange Commission (SEC) to convert its XRP Trust into an exchange-traded fund (ETF). If approved, the ETF would be listed on the New York Stock Exchange (NYSE), providing investors with a regulated way to gain exposure to XRP.

As of Friday, the Grayscale XRP Trust holds over $16 million in XRP. The proposed ETF would continue to track XRP’s price performance on a return basis while factoring in operational costs, making it a more structured investment vehicle for institutional and retail investors alike.

Grayscale is among several asset managers eyeing an XRP ETF, with CoinShares and Bitwise also submitting applications. The push reflects a growing demand for crypto-based ETFs, especially in light of shifting regulatory attitudes under the Trump administration.

Earlier this month, Ripple Labs president Monica Long suggested that an XRP ETF “could soon be a reality,” citing the administration’s pro-crypto stance and its focus on fostering blockchain innovation within the U.S.

At the same time, XRP ecosystem activity has gained momentum. Trading volumes on XRP Ledger’s decentralized exchange (DEX) soared past $400 million in January, helping total swap volumes surpass $1 billion since the network’s automated market maker feature went live in May—one of several factors that made 2024 a milestone year for XRP adoption.