The U.S. Securities and Exchange Commission (SEC) has officially acknowledged Grayscale Investments’ filings for XRP and Dogecoin exchange-traded funds (ETFs), marking a pivotal moment for crypto investment products.
While this does not guarantee approval, it sets off a 240-day review process, potentially shaping the future of institutional crypto adoption.
Grayscale submitted its Form 19b-4 filings for both Grayscale XRP Trust and Grayscale Dogecoin Trust, with the SEC confirming their acceptance on February 13, 2025. The formal review period begins once these filings enter the Federal Register, which could place the SEC’s final decision by mid-October.
Regulatory Shifts in Crypto ETF Approvals
Historically, the SEC has been hesitant to approve crypto-based ETFs, previously rejecting Solana ETF proposals and resisting the conversion of Grayscale’s Bitcoin Trust into an ETF. However, regulatory attitudes may be evolving under new leadership.
Bloomberg ETF analysts predict that by the end of 2025, XRP ETF approval has a 65% chance, while Dogecoin ETFs stand at 75%. Comparatively, Litecoin ETFs have a 90% likelihood of approval this year.
Despite this shift, Ripple Labs remains in a legal battle with the SEC, which claims that XRP was sold as an unregistered security. This ongoing lawsuit could delay XRP’s ETF approval until legal clarity is achieved.
In contrast, Dogecoin’s regulatory path appears smoother, as the SEC has never classified Dogecoin as a security. Since it shares similar characteristics to Bitcoin, which has already received ETF approval, Dogecoin’s chances of approval are significantly higher.
Grayscale’s Dogecoin ETF Review Underway
The SEC has acknowledged NYSE Arca Inc.’s filing to list the Grayscale Dogecoin Trust, recorded under Release No. 34-102416. The trust’s custody services will be handled by Coinbase Custody Trust Company, LLC, while BNY Mellon Asset Servicing will oversee administration.
Dogecoin Trust’s valuation will be based on the CoinDesk Dogecoin Price Index, ensuring price transparency and asset security. The structure is designed to prevent market manipulation and uphold trust integrity.
Market Reactions and Investor Sentiment
Following the SEC’s acknowledgment, XRP’s price surged 11.49%, reaching $2.73 within 24 hours, signaling strong investor confidence. Analysts believe that an ETF approval could significantly increase XRP’s liquidity and market legitimacy.
Fox Business journalist Eleanor Terrett emphasized that acknowledgment does not equate to approval but does indicate a more constructive approach from the SEC compared to previous leadership.
With Grayscale’s XRP ETF application under review, other issuers such as Bitwise, WisdomTree, and 21Shares are expected to follow suit. If approved, these ETFs could accelerate institutional investment and reshape crypto market dynamics.
Conclusion
The SEC’s acknowledgment of XRP and Dogecoin ETF filings signals a new phase for crypto investment products. While XRP’s legal status remains uncertain, Dogecoin’s approval seems more likely. As regulatory discussions progress, the crypto community closely watches the SEC’s decisions, anticipating their impact on institutional adoption and market expansion.
Reece Conner
Reece Conner is a leading expert in the cryptocurrency industry, known for delivering cutting-edge insights and practical guidance to both newcomers and seasoned investors. With a background in finance and technology, Conner bridges the gap between complex blockchain concepts and real-world applications.