In a surprising move, BlackRock, the world’s largest asset manager, has officially stated that it has no current plans to file for an XRP ETF, putting an end to months of speculation. This declaration comes amidst a flurry of activity in the cryptocurrency ETF space, where several asset managers have already expressed their intent to diversify offerings beyond traditional assets.
BlackRock’s Stance: A Conservative Approach
BlackRock’s decision to stick to Bitcoin and Ethereum ETFs reflects a cautious strategy. According to a spokesperson speaking with The Block, the firm appears committed to maintaining its focus on what it perceives as the most stable digital assets currently. This choice seemingly aligns with their existing portfolio, which already features products tied to these two largest cryptocurrencies by market cap.
Market watchers like Nate Geraci, President of NovaDius Wealth, had speculated that BlackRock was poised to file for an XRP ETF following the recent resolution of the Ripple-SEC lawsuit. Geraci noted that the firm’s reluctance to expand its ETF offerings beyond Bitcoin and Ethereum could be seen as a strategic oversight, suggesting it implicitly undervalues the potential of alternative cryptocurrencies like XRP. This sentiment is echoed in SBI’s recent filing for a Bitcoin–XRP ETF in Japan, highlighting a growing interest in dual crypto exposure within regulated markets.
Experts Weigh In: More Than Meets the Eye?
The decision has sparked debate among industry experts. Bloomberg analyst Eric Balchunas queried whether BlackRock’s conservative approach might limit its potential market reach. He raised a broader question about the criteria asset managers should use when deciding which cryptocurrencies merit ETF offerings. As Balchunas put it, “Where exactly do we draw the line?”
Geraci, on the other hand, remains convinced that there is a burgeoning demand for XRP ETFs. He points to the impressive inflow of over $1 billion into futures-based XRP funds since their launch earlier this year as evidence of genuine investor interest. This growing demand, he argues, underscores the market’s readiness for spot funds, a sentiment echoed by pro-XRP attorney John Deaton, who remains optimistic about an eventual filing. The recent price bump in Bitcoin, Ether, and XRP further illustrates the shifting market sentiment towards ‘Greed’, suggesting a ripe environment for new ETF offerings.
What Lies Ahead for XRP ETFs?
Despite BlackRock’s current stance, the door isn’t entirely closed. Deaton, known for his bullish outlook on XRP, predicts that BlackRock could reverse its position within the next year. He suggests that the firm risks losing a competitive edge to those who have already filed, potentially missing out on the benefits of being a first mover in the space.
Furthermore, Bloomberg analysts James Seyffart and Eric Balchunas have indicated a high likelihood—95%, to be precise—that the SEC will approve these funds by the end of the year. This potential regulatory green light could catalyze a shift in BlackRock’s strategy, especially if the market dynamics and investor demands continue to evolve rapidly.
Currently, the price of XRP hovers around $3.26, reflecting a slight drop over the past 24 hours. Yet, this minor dip doesn’t seem to dampen the enthusiasm of investors and industry insiders who are closely watching the unfolding narrative.
In a market characterized by its dynamic and often unpredictable nature, BlackRock’s decision serves as a reminder of the delicate balance between innovation and risk management. Whether the firm’s conservative approach will pay off or if it will adapt to the shifting tides of investor interest remains to be seen. The coming months will be critical, not just for BlackRock, but for the entire landscape of cryptocurrency ETFs.
Source
This article is based on: BlackRock Addresses Burning XRP ETF Question: Is A Filing Coming Or Not?
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
