Table of Contents
Equities exchange MEMX has submitted a request to the US Securities and Exchange Commission (SEC) to list an XRP exchange-traded fund (ETF).
According to the filing, the exchange has applied to list the 21Shares XRP ETF as a “Commodity-Based Trust.”
21Shares filed an application with the SEC for its 21Shares Core XRP Trust back in November. The fund would allow investors to buy shares in the ETF that tracks XRP's price without holding the digital currency itself.
Earlier this month, Chicago’s Cboe Exchange submitted four separate applications to the SEC for XRP ETFs from WisdomTree, Bitwise, 21Shares, and Canary.
Blockhead
The SEC officially accepted NYSE Arca's application to list and trade shares of the Grayscale XRP Trust just a few days ago. The acknowledgement of the applications signals the start of the regulator's review process, which although does not guarantee approval, signals a contrast to its previous reluctant stance that led to withdrawals of such applications.
Blockhead
MEMX's latest filing comes amid the ongoing legal battle between Ripple and the SEC over XRP being classified as a security. Last month, the SEC submitted a filing that challenges a July 2023 court ruling that partially dismissed claims against the company.
The agency also disputes the lower court’s exclusion of non-cash XRP distributions, such as those used for employee compensation and business incentives, from securities regulations. These transactions meet the "investment of money" requirement under the Howey framework, according to the regulator.
Blockhead
The applications also come as XRP experiences wild swings in its price. Up over 360% year-to-date, XRP cleared the $3 mark after spending most of the last few years below $1.00. However, over the month XRP has slipped almost 20%, trading far below $3.
