WisdomTree Files for a Spot XRP ETF

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WisdomTree has submitted a proposal to the US Securities and Exchange Commission on Monday for a potential ETF launch. The proposed WisdomTree XRP Fund would be listed on the Cboe BZX Exchange, Inc. and its administrator would be the Bank of New York Mellon.

The fund’s objective is to track the price of XRP, with minimal expenses and liabilities. WisdomTree established an XRP entity in Delaware on Nov. 25, joining other issuers like Bitwise, 21Shares, and Canary Capital in filing for spot XRP ETFs.

The SEC has never approved a spot XRP ETF before, and has been involved in a legal battle with Ripple since 2020 over allegations that the company illegally raised $1.3 billion through the sale of XRP as an unregistered security.

In a ruling over a year ago, US District Court Judge Analisa Torres stated that some of Ripple’s sales were not in violation of securities laws due to the blind bid process in place, but that direct sales to institutional investors were securities. In August, Judge Torres ordered Ripple to pay $125 million in fines.