Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
After its previous achievements with Bitcoin and Ethereum ETFs, asset management firm Purpose Investments submitted a preliminary prospectus to Canadian securities regulators on Thursday.
This filing aims to introduce what would become the world’s first XRP ETF in Canada, providing investors with a regulated option for long-term exposure to XRP and potential capital gains.
If approved, the new product would function as a spot XRP ETF, offering a regulated method for obtaining long-term exposure to XRP along with the possibility of capital appreciation.
Spot Ripple ETF on the Horizon? Purpose Investments Aims for Another First
In an official announcement made on Thursday, the company emphasized its determination to replicate the successes of its Bitcoin and Ethereum ETFs by launching the first spot XRP ETF.
Purpose Investments, known for introducing the first spot Bitcoin and Ethereum ETFs on the Toronto Stock Exchange in 2021, is now looking to extend similar long-term exposure opportunities to XRP.
Innovation drives the future of digital asset investing. We’re proud to file a preliminary prospectus for the world’s first Ripple (XRP) ETF – expanding access to regulated, institutional-grade crypto exposure.
Learn more: https://t.co/x39gjnQcVb pic.twitter.com/PXpwO4mE1q— Purpose Investments (@PurposeInvest) January 30, 2025
The proposed ETF is set to invest nearly all of its assets in long-term holdings of XRP.
Purpose Investments founder and CEO Som Seif highlighted the firm’s commitment to innovation and to bridging the gap between traditional finance and decentralized finance.
“At Purpose, we remain steadfast in our commitment to innovation and to bridging the gap between traditional and decentralized finance,” Seif stated.
“As XRP experiences increasing adoption and institutional interest, we believe an ETF can provide investors with a transparent and familiar way to access it within a regulated framework,” he added.
While XRP exchange-traded products (ETPs) have been available across various global markets, the introduction of a spot XRP ETF in Canada would signify a significant advancement in offering regulated access to the asset.
Meanwhile, several asset management firms have submitted applications to the U.S. Securities and Exchange Commission (SEC) to launch similar products, although these filings are still under regulatory review.
Related Posts
Rising Applications Amid U.S. Regulatory Shifts and Price Rally
Applications for crypto exchange-traded funds (ETFs) have surged following the reelection of President Donald Trump and the resignation of SEC Chair Gary Gensler.
@WisdomTreeFunds has filed a Form S-1 registration statement with the @SECGov for a spot XRP ETF.#XRP #Ripple #XRPETFhttps://t.co/lLCj5OmRoB
— Cryptonews.com (@cryptonews) December 2, 2024
Multiple asset managers, including Grayscale, CoinShares, Bitwise, WisdomTree, and 21Shares, have filed for XRP ETFs in the U.S. as recent regulatory changes encourage issuers to proceed with their applications.
Other cryptocurrencies, such as Solana, Litecoin, and Dogecoin, have also attracted spot ETF applications.
The SEC was expected to make preliminary decisions on these filings by the end of January; Grayscale’s XRP ETF application had a deadline of January 23, while other applicants awaited decisions by January 25.
Leadership changes at the SEC have accelerated these developments, as market participants anticipate a more favorable regulatory environment for crypto-based investment products.
Purpose Investments, which launched the world’s first Bitcoin ETF in Canada in 2021, has paved the way for institutional access to crypto.
In contrast, U.S. asset managers have had to wait until January 2024 for SEC approval of spot Bitcoin ETFs, which have since accumulated over $121 billion in assets.
XRP’s price surged to $3.20 on January 15—its highest level since 2018—before retracing to $3.09 on January 31, marking a 31% gain for the month.
This rally occurred despite the SEC’s appeal against a July 2023 ruling that determined XRP sales to retail investors were not unregistered securities.
Market analysts suggest that an approved XRP ETF could attract between $3 billion and $6 billion in net new investments, assuming adoption rates similar to those of Ethereum ETFs.
The post Purpose Investments to Launch Canada’s First XRP ETF appeared first on Cryptonews.
