SEC Updates Rules to Expedite Approval for XRP ETF by 2025

The SEC's latest move could accelerate the approval process for US spot ETFs tracking altcoins like XRP. New rules aim for approvals by late 2025, following recent support for in-kind creation and redemption of crypto ETPs.

New Listing Standards Open Door

Changes to SEC regulations allow any coin with at least six months of futures trading on platforms like Coinbase’s derivatives exchange to qualify for an exchange-traded product. Key points include:

The six-month rule replaces a review process that could take up to 240 days.
Exchanges can now use a 75-day window upon filing a rule change.
This simplifies the path for an XRP ETF and similar products.

Additionally, authorized participants can now create or redeem ETF shares using actual cryptocurrency, reducing settlement costs and aligning crypto products with traditional commodity ETPs.

XRP ETF Odds Climb

Analyst Eric Balchunas estimates an 85% chance of XRP ETF approval by September or October 2025. Key insights include:

Once the six-month futures threshold is met for assets like XRP, Dogecoin, and Solana, approval becomes more likely.
Prediction markets show odds near 86% despite procedural delays.
Updated listing standards are seen as the final barrier to approval.

Ripple Lawsuit And Deadlines

A legal battle between Ripple and the SEC remains a critical factor. Both sides may drop appeals before the August 15 deadline, potentially clearing a significant obstacle for XRP ETF applications. Legal experts suggest that a dismissal of appeals would pave the way for final SEC approval.