XRP ETF approval remains uncertain as the U.S. Securities and Exchange Commission (SEC) continues to delay decisions on multiple spot cryptocurrency exchange-traded funds (ETFs). More than a dozen applications tied to Ripple’s native token, XRP, are pending, leaving investors asking when the Commission will finally take action and what these delays mean for the broader crypto market.
Why the SEC Keeps Delaying XRP ETF Approval
Back in mid-August, the SEC began postponing deadlines for several XRP ETF applications until October, asking issuers to revise filings and provide more detailed disclosures. Franklin Templeton’s application, originally due September 17, was also delayed to November. These repeated delays are frustrating for investors but reflect the SEC’s standard approach for new financial products, particularly those in the digital asset space.
John Squire, a prominent figure in the XRP Army with over 500,000 followers on X (formerly Twitter), explains that the SEC “almost always” delays first-round ETF filings. This strategy allows regulators to gather public comments, perform internal reviews, and analyze market impact before granting approval. Bitcoin and Ethereum ETFs underwent similar delays before their eventual approval, setting a precedent for XRP and other altcoins.
Political Pressure Slowing XRP ETF Approval
Political dynamics may also be influencing the SEC’s timeline. With the U.S. entering a heated election cycle, approving XRP ETFs could be interpreted as legitimizing institutional demand for Ripple, which may draw attention from politicians and regulators. Squire suggests that the SEC is deliberately cautious to avoid being accused of moving too quickly during politically sensitive times.
In addition, the Commission is carefully reviewing critical factors such as custody protocols, settlement mechanisms, and surveillance-sharing agreements. Each element must meet regulatory standards to ensure investor protection and market stability. These requirements contribute to the slow but methodical pace of XRP ETF approval.
Delays Are Not Rejections
Despite investor frustration, delays should not be mistaken for outright rejection. The SEC has yet to deny any XRP ETF application. Historical context shows that Bitcoin and Ethereum ETFs faced multiple delays before receiving approval, suggesting that patience is often required for new crypto financial instruments. Each delay provides time for regulators to ensure compliance with securities laws, reducing risks for both issuers and investors.
Wall Street Demand Strengthens XRP ETF Approval Prospects
Institutional interest in XRP continues to grow, driven by the token’s use cases in cross-border payments and liquidity solutions. Large financial firms are seeking regulated access to XRP through ETFs, creating pressure on the SEC to act. According to Squire, this demand makes XRP ETF approval inevitable and could open the door for more mainstream adoption of Ripple and related blockchain solutions.
Industry experts share this optimism. Nate Geraci, President of the ETF Store, stated that chances of XRP ETFs launching in the U.S. this year are “close to 100%.” Prediction markets like Polymarket also reflect high confidence, showing odds consistent with near-term approval. These indicators highlight that both retail and institutional investors are prepared for XRP ETF integration into mainstream financial markets.
The Bigger Picture for XRP ETF Approval
The SEC’s cautious stance mirrors its broader approach to cryptocurrency regulation. While Bitcoin and Ethereum ETFs paved the way, XRP introduces unique considerations due to its legal history and ongoing litigation with the SEC. Regulators are also evaluating market surveillance systems, anti-fraud measures, and transparency protocols, ensuring that XRP ETFs comply fully with U.S. securities laws.
Additionally, approving XRP ETFs could set a new benchmark for altcoin ETFs in general, encouraging more crypto assets to enter regulated investment products. Investors and fund managers alike are watching closely, knowing that SEC approval of XRP could accelerate adoption and legitimization of other emerging digital assets.
Final Thoughts: The Future of XRP ETF Approval
While the SEC’s repeated delays are frustrating, they reflect a structured approach rather than rejection. Institutional demand, expert sentiment, and prediction market trends all point toward eventual XRP ETF approval. Timing remains uncertain, but the trajectory is clear: XRP ETFs are no longer a question of if, but when. Investors should stay informed, monitor SEC updates, and understand that patience is essential in the evolving crypto regulatory landscape.
SEO Takeaway: XRP ETF approval continues to face SEC delays, but experts and markets indicate that Ripple ETFs are inevitable. Political, technical, and institutional factors make approval a matter of timing rather than possibility, positioning XRP for wider adoption in 2025.