Receipts Depositary Corp. Plans Launch of XRP-Backed Securities
Receipts Depositary Corp. (RDC) plans to launch XRP-backed securities, allowing institutions to access XRP through U.S. regulated market infrastructure.
- The offering will consist of depositary receipts akin to American depositary receipts (ADRs).
- Available exclusively to qualified institutional buyers via transactions exempt from registration under the Securities Act of 1933.
- Approval from the SEC is not required for these securities.
- The securities will be cleared by the Depository Trust Company (DTC), similar to existing offerings of bitcoin and ether backed securities.
- RDC CEO Ankit Mehta highlighted benefits such as direct ownership of the underlying asset.
- Interest in XRP has surged, with multiple companies seeking to introduce XRP-focused products, including ETFs.
- Depositary receipts differ from ETFs as they provide direct ownership rather than cash redemption.