On Thursday, the Chicago-based Cboe Exchange filed four separate 19b-4 applications with the US Securities and Exchange Commission (SEC), seeking approval to list and trade spot XRP exchange-traded funds (ETFs) proposed by WisdomTree, Bitwise, 21Shares, and Canary. The submissions mark the latest step in the regulatory process—following initial S-1 filings—and, if successful, could position XRP alongside Bitcoin and Ethereum as the next major crypto asset to gain ETF status in the United States.
XRP ETFs Advance
According to documents submitted by Cboe, each application underscores key arguments for spot XRP ETF approval, referencing the partial court victory Ripple Labs achieved in July 2023. That ruling found that programmatic sales to retail investors did not constitute investment contracts under federal law—a point of contention now under appeal. The Cboe filings explicitly state the exchange “believes it is applying proper legal standards in making a good faith determination that XRP is not under these circumstances a security under federal law.”
These applications coincide with recent optimism around crypto-focused investment products, despite broader market headwinds. XRP, the fourth-largest digital asset by market capitalization, has seen its price slide by approximately 33%, following a surge near its all-time high of just under $3.40 in late January.
The formal 19b-4 submissions to the SEC are critical because they request permission for listing and trading on Cboe BZX Exchange. Once published in the Federal Register, the regulator typically has an initial 45-day window to either approve, deny, or extend the review of each proposed rule change. However, as Fox Business correspondent Eleanor Terrett recently observed, the SEC can make use of extensions—up to a total of 240 days—before reaching a final decision.
In her remarks on the process, Terrett cautioned that “the submission of these forms does not guarantee approval,” highlighting that the regulatory scrutiny remains substantial. Many analysts point to the SEC’s ongoing appeal against Ripple Labs in the Second Circuit Court, through which the agency aims to reverse the July ruling that distinguished XRP’s programmatic sales from traditional securities offerings.
Ripple CEO Brad Garlinghouse echoed the broader anticipation, posting a alarm clock emoji on X that the 19b-4 filings have effectively started a countdown to a final ruling. While he did not elaborate further, his acknowledgment resonated with XRP supporters who see these ETF applications as a potential catalyst for mainstream adoption.
Unlike Bitcoin and Ethereum, which secured ETF approvals partly on the basis of established futures markets (primarily the CME), XRP lacks a corresponding CME futures product. This absence is widely viewed as an additional hurdle to regulatory approval. As a result, asset managers are proposing various protective measures to address past SEC concerns around market integrity and investor protections.
Instead of tapping Ripple Labs directly, issuers plan to obtain the token through multiple secondary venues. Moreover, the proposals outline real-time oversight mechanisms to detect and deter manipulative trading. Also, XRP holdings would be kept with licensed custodians, typically under cold storage protocols to reduce counterparty risk. Fourth, there will be built-in mechanisms to halt intraday trading during periods of extreme volatility, a feature that aims to protect retail investors in particular.
These commitments mimic strategies used in other crypto ETF filings, such as recent proposals for Solana ETFs—another effort from Cboe that was re-submitted following regulatory feedback last year.
At press time, XRP traded at $2.51.
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