XRP ETF Approval Likely to Take Time, Says Bitwise CIO

As the push for altcoin ETFs intensifies with shifting political landscapes and a new SEC administration under President Donald Trump, the potential approval of an XRP ETF is becoming a focal point.

Matt Hougan, Chief Investment Officer at Bitwise, which has also filed for an XRP ETF, recently shared his insights on the approval process for these products, commenting on the growing interest and the volatile trends surrounding them. He highlighted that the increasing number of XRP ETF applications could enhance the likelihood of approval from the SEC, alongside other altcoin ETFs.

Although the SEC’s stance on altcoin ETFs like XRP and Solana is evolving, Hougan emphasized that while XRP’s chances are currently slimmer compared to other altcoins, the situation has notably improved in recent months. He suggested that clearer decisions regarding the approval of XRP and other altcoin ETFs would emerge within the next six months.

He pointed out the SEC’s cautious approach, stressing that even with a more crypto-friendly administration, the approval process would require thorough analysis and public feedback.

“The pace may be slow, but in six months, we’ll have a clearer picture,” Hougan stated. He also noted that historically, spot ETFs have been launched only after a regulated futures market for the underlying asset has been established, citing gold and Bitcoin as examples. While XRP may not have an established futures market, Hougan mentioned that its impact on the ETF approval process will unfold over time.

A recent Bloomberg report also weighed in on the likelihood of an XRP ETF approval. Analysts Eric Balchunas and James Seyffart predicted a 65% chance of approval for an XRP ETF, putting it behind Litecoin (90%), Solana (70%), and Dogecoin (75%) in terms of approval probability.