US Spot XRP ETF Approval in the Cards As Brazilian Spot XRP ETF Launches 

The XRP Price Targets $2.40 After Brazil Launches the World’s First Spot XRP ETF

While the US still waits for the SEC’s spot XRP ETF approval, Hashdex and Genial Investimentos have just launched the world’s first XRP spot ETF, XRPH11, on B3. It is listed under the Nasdaq XRP Reference Price Index and is targeting advanced investors. XRPH11 will have at least 95% of its assets directly in the Ripple token. 

As for XRP news in the US, ProShares will debut three XRP ETFs on April 30, 2025. These include the Ultra XRP ETF with 2x leverage, the Short XRP ETF, and the Ultra Short XRP ETF with -2x leverage. The market has been waiting for a while for XRP ETF approval, and this marks a significant step for Ripple Labs. 

Is XRP ETF Approved?

An XRP exchange-traded fund (ETF) tracks the price of the Ripple token and provides investors with leverage and inverse exposure to XRP. The XRP ETFs trade in traditional stock exchanges, and you would not need to create a crypto wallet or use a crypto exchange, but you would still be able to gain exposure to XRP without the risk or uncertainty of crypto exchanges. 

After Teucrium Investment Advisors LLC debuted the first futures-based XRP ETF earlier this month, this is the second XRP ETF approval in the USA. While Proshares has received an XRP ETF approval for a futures-based ETF, its spot XRP ETF application is still under review. The SEC has not approved any XRP spot ETFs, and such approvals would be game-changing for Ripple Labs. 

SEC has been lenient towards futures-based XRP ETF approvals, but spot ETFs are still under consideration. Firms like Grayscale and Bitwise have also filed XRP ETF applications, and there is a 74% chance of US approval this year. The SEC greenlit the first spot market Bitcoin ETFs in January last year, and ETH ETFs were subsequently approved for trading last July. These have generated billions of dollars’ worth of inflows for digital assets by market cap. 

What Happens if XRP Gets a Spot ETF?

The Brazilian spot XRP ETF approval might bring global attention to the South American crypto market and put Hasdex ahead of the curve. Brazil’s Solana ETF saw little demand, and it is possible XRPH11 might face the same if trade volume doesn’t pick up. Regardless, the Brazilian XRP ETF approval strengthens Brazil’s position as a crypto hub in Latin America and puts pressure on the US to offer similar opportunities for American investors. 

The new pro-crypto SEC chair, Paul Atkins, may accelerate things, and a US spot XRP ETF approval might come sooner than anticipated. A US-listed XRP ETF will look to institutional interest and supercharge the XRP price and the token’s long-term growth. 

The reason the XRP spot ETFs have not been approved yet is that they require the SEC  to assess the underlying crypto markets, which are less regulated and more susceptible to manipulation. The uncertainty surrounding XRP’s legal status has also been a point of contention and may contribute to the SEC’s hesitation in approving a spot XRP ETF.

Conclusion

The recent launch of Brazil’s first-ever spot XRP ETF, XRPH11, marks a significant milestone in the global adoption of XRP, providing investors with a regulated avenue to gain direct exposure to the cryptocurrency. However, the U.S. Securities and Exchange Commission (SEC) has yet to approve a spot XRP ETF, focusing instead on futures-based products.

The approval of a spot XRP ETF in the U.S. could potentially lead to increased institutional investment, improved liquidity, and greater mainstream acceptance of XRP in the financial markets.

About the Author: Sarah Zimmerman is a seasoned crypto and Web3 news writer passionate about uncovering the latest developments in the digital asset space. With years of hands-on experience covering blockchain innovations, cryptocurrency trends, and decentralized technologies, she strives to deliver insightful and balanced news that empowers her readers. Her work is dedicated to demystifying complex topics and keeping you informed about the ever-evolving world of technology.