Franklin Templeton Pushes for XRP ETF Approval; Price Jumps 8%

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The cryptocurrency world is buzzing as Franklin Templeton officially files an S-1 registration form with the U.S. Securities and Exchange Commission (SEC) to launch an XRP exchange-traded fund (ETF). This pivotal move follows the firm’s earlier establishment of the Franklin XRP Trust in Delaware, marking a significant step toward bringing institutional-grade XRP investment products to market.

With spot Bitcoin and Ethereum ETFs already approved and trading successfully, attention has now turned to XRP. As the fourth-largest cryptocurrency by market capitalization, XRP stands at a critical juncture. Approval of an XRP ETF could unlock massive institutional inflows, reshaping liquidity, price dynamics, and mainstream adoption.

But will the SEC say yes?

The Growing Race for an XRP ETF

Franklin Templeton joins a competitive lineup of major financial players vying to launch the first XRP ETF. Among them are Bitwise, 21Shares, Canary Capital, Grayscale, and WisdomTree — all of which have submitted their own proposals to the SEC.

If approved, Franklin Templeton’s XRP ETF would trade on the CBOE BZX Exchange, offering investors a regulated, transparent way to gain exposure to XRP without holding the asset directly. The fund’s valuation will be tied to the CME CF XRP-Dollar Reference Rate, ensuring consistency and reliability in pricing.

Crucially, Coinbase Custody will serve as the custodian for the underlying XRP holdings, while Coinbase itself will act as the prime broker. This partnership underscores growing trust between traditional finance institutions and leading crypto platforms.

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SEC Delays Loom Over XRP ETF Approvals

Despite mounting momentum, regulatory uncertainty remains high. The SEC has acknowledged multiple XRP ETF applications, beginning with Grayscale’s filing on February 14, 2025 — which initiated a standard 240-day review period. Subsequent filings from WisdomTree, Canary Capital, and CoinShares are also under active evaluation.

However, recent developments suggest caution. The SEC recently delayed its decision on Grayscale’s XRP ETF proposal, citing the need for additional time to assess compliance and market impact. This mirrors broader delays across other spot crypto ETF applications, including VanEck’s Spot Solana ETF, Canary’s Litecoin and Solana ETFs, and Grayscale’s Spot Dogecoin ETF.

All eyes are now on May 22, 2025, when the SEC must issue rulings on filings from Canary Capital, Bitwise, and Grayscale. These deadlines could determine whether XRP joins Bitcoin and Ethereum in the elite circle of cryptocurrencies with approved ETFs.

Why Investor Confidence Is Rising

Even amid regulatory delays, market sentiment remains strong. Franklin Templeton’s entry into the XRP ETF race sent shockwaves through the crypto market — triggering an 8% surge in XRP’s price within 24 hours. The asset is now trading at $2.19, demonstrating resilience despite broader market volatility.

This rally wasn’t just speculative noise. It reflected growing confidence in XRP’s long-term legitimacy and institutional viability. Analysts point to strong technical support near $2.04 as a key bullish signal. So long as this level holds, further upside remains likely.

Crypto analyst CasiTrades notes that XRP has maintained a consistent upward trend over recent months. With momentum building, traders are watching two critical resistance levels: $2.25** (short-term) and **$2.70 (intermediate target).

Core Keywords Driving Market Interest

The surge in attention around XRP ETFs highlights several core keywords that reflect current search intent and market dynamics:

These terms naturally align with investor concerns about regulation, accessibility, and future value — making them essential for understanding the evolving landscape.

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Market Outlook: Is a Breakout Imminent?

XRP has more than tripled in value over the past year, outperforming many altcoins despite ongoing legal scrutiny. Notably, reports suggest that XRP is part of former President Donald Trump’s proposed strategic digital asset reserve — adding another layer of political and economic interest.

While the SEC continues its legal proceedings with Ripple Labs over whether XRP qualifies as a security, Franklin Templeton’s independent filing signals shifting perceptions. Even if Ripple loses certain regulatory battles, institutional players like Franklin Templeton may still back XRP based on its utility, network strength, and growing ecosystem.

With major asset managers pushing forward and public interest peaking, many analysts believe an XRP ETF approval could catalyze a new wave of capital inflows — potentially pushing prices toward new all-time highs.

Frequently Asked Questions (FAQs)

Will the SEC approve an XRP ETF in 2025?
Bloomberg analysts Eric Balchunas and James Seyffart estimate a 65% chance of approval by 2025. However, repeated delays indicate that the SEC is proceeding with caution, particularly given the unresolved classification of XRP as a security.

Why did XRP’s price surge after the ETF filing?
Franklin Templeton’s S-1 filing significantly boosted investor confidence. Institutional involvement signals growing legitimacy and potential for broader market access, fueling short-term buying pressure and optimism.

How does an XRP ETF work?
An XRP ETF allows investors to gain exposure to XRP’s price movements through traditional brokerage accounts without owning or storing the cryptocurrency directly. The fund holds actual XRP reserves (custodied by firms like Coinbase) and tracks a reference rate like the CME CF XRP-Dollar Index.

Who benefits from an approved XRP ETF?
Retail and institutional investors benefit from easier access, enhanced liquidity, and regulatory oversight. Ripple Labs and the broader XRP ecosystem also gain credibility and potential demand increases.

What happens if the SEC rejects all XRP ETF applications?
Rejection would likely cause short-term price volatility but not necessarily long-term damage. Previous rejections for Bitcoin ETFs preceded eventual approvals after appeals and legal adjustments. The process may simply extend further.

Could other countries launch an XRP ETF first?
Yes. While U.S. regulation dominates headlines, markets like Canada, Australia, or EU nations with progressive crypto frameworks could potentially approve similar products earlier — especially if American delays persist.

Final Thoughts: A Turning Point for XRP?

The convergence of institutional interest, technical strength, and regulatory momentum suggests that 2025 could be a defining year for XRP.

Franklin Templeton’s move isn’t just symbolic — it reflects a calculated bet on digital assets becoming mainstream financial instruments. Whether or not the SEC approves the ETF by May 2025, the mere presence of such applications validates XRP’s position in the global financial conversation.

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