SEC Reviewing Grayscale Dogecoin and XRP ETF: New Era for Crypto?

SEC Acknowledges Dogecoin and XRP ETF Filings: Grayscale’s Expansion

US SEC Reviews Grayscale’s Dogecoin and XRP ETF Filing

The U.S. Securities and Exchange Commission (SEC) has officially acknowledged Grayscale’s filings for exchange-traded funds (ETFs) based on Dogecoin (DOGE) and XRP. 

Acknowledging the filing means that the SEC has received the application and will begin reviewing it. The regulatory body will examine whether these ETFs comply with financial regulations and are safe for investors.

Grayscale, one of the largest cryptocurrency investment firms, has been actively working on launching new crypto-based investment products. The company previously succeeded in getting approval for its Bitcoin ETF, which was a significant milestone in the industry.

Why Is This Important?

If approved, these ETFs would allow traditional investors to gain exposure to Grayscale’s Dogecoin and XRP. This could lead to increased mainstream adoption and a rise in the value of these digital assets. Bitwise has also submitted an S-1 registration with the U.S. Securities and Exchange Commission (SEC) for Bitwise Dogecoin ETF, but not been approved yet.

Dogecoin, created as a joke, has grown into a widely used cryptocurrency, with support from major figures like Elon Musk. XRP, developed by Ripple, is known for its use in cross-border payments and has a strong global presence.

The SEC’s Role

The SEC has been cautious about approving crypto-related ETFs due to concerns about market manipulation, volatility, and investor protection. However, recent approvals of Bitcoin and Ethereum ETFs suggest that the agency is slowly becoming more open to crypto investments.

The review process can take several months, during which the SEC may request more information, invite public comments, or even reject the application if it does not meet their standards.

Market Reaction

Following the news, both Dogecoin and XRP saw slight price increases, as investors reacted positively to the possibility of ETF approval. Many believe that the approval of these ETFs could bring more legitimacy to the crypto industry and attract institutional investors.

What Happens Next?

The SEC will now carefully review Grayscale’s proposals and decide whether to approve or reject them. If approved, the ETFs could be launched later this year, making it easier for everyday investors to trade Dogecoin and XRP through regulated stock exchanges.

For now, crypto enthusiasts and investors will be closely watching how the SEC moves forward with these filings.

The SEC has officially acknowledged Dogecoin and XRP ETF. This means the approval process has started, and the SEC has 240 days to decide.

Experts say this is a big deal because the previous SEC leadership wouldn’t have even considered these filings. Bloomberg analysts believe this increases the chances of approval.

The acknowledgment is important because the SEC has been skeptical about altcoins before. It could also impact Ripple’s legal case, with some experts saying the lawsuit will end before an ETF approval.