Leading investment management firm Canary Capitals has joined the race to launch an XRP exchange-traded fund (ETF) following the first filing by Bitwise.
The investment company filed an S-1 form with the U.S. Securities and Exchange Commission on Tuesday, announcing its intention to launch an XRP ETF. According to the filing, Canary named the fund the Canary XRP ETF to provide investors with an alternative means of exposure to the seventh-largest crypto asset by market capitalization.
Canary said in an SEC filing that the investment vehicle will enhance exposure to XRP and that the product’s net asset value (NAV) will be benchmarked at the CME CF Ripple Dollar Reference Rate. Notably, Canary has not disclosed details such as the fund’s ticker, the exchange it will trade on, or expected fees.
Canary promotes first ETF based on investor demand for XRP
It is worth mentioning that the XRP ETF was Canary’s first venture to provide customers with exposure to digital assets. The asset management firm, led by Valkyrie co-founder Steven McClurg, made its Wall Street debut in September.
In a statement, McClurg noted that Canary’s efforts to launch an XRP ETF were driven by continued demand from investors. The founders cited outrage among customers seeking alternative exposure to cryptocurrencies other than Bitcoin and Ethereum, as well as the lifting of regulatory clouds in the US, as the reasons behind the latest venture.
Despite the SEC’s unclear crackdown on Ripple, growing demand for XRP among US investors was evident as Bitwise filed for an investment product for the XRP Ledger native token. The large asset management company, which already offers Bitcoin and Ethereum ETFs to investors, filed an S-1 form with the SEC last week.
Meanwhile, the SEC v. Ripple case continues after the securities watchdog’s October 2nd notice of appeal. Ripple has not yet filed a counterclaim against the lawsuit, as the SEC has not provided details on which parts of the ruling it will contest. Notably, one analyst expects the Court of Appeals to rule on the matter late next year or early 2026.
From XRP to new ATH?
Tuesday’s filing increased positive sentiment among the XRP community, with supporters expecting a bullish scenario for the coin. According to market researcher Colin Brown, XRP could soon hit a new all-time high.
The analyst claimed that if the SEC approves the XRP ETF application, the XRPL native token will skyrocket past its all-time high of $3.84. But supporters will hope that the years-long legal battle between regulators and Ripple will not influence the company’s decision on the application.
Meanwhile, XRP is trading at $0.5328, up less than 1% over the past 24 hours. The asset is down 86.12% from its all-time high.
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