21Shares Says US Spot XRP ETF Still Awaiting SEC Effectiveness
Swiss asset manager 21Shares clarified that its planned US spot XRP exchange-traded fund (ETF) has not yet been declared effective by the U.S. Securities and Exchange Commission (SEC). The firm said the ETF remains pending regulatory approval and warned that a screenshot showing 21Shares products on Vanguard’s brokerage search led to mistaken assumptions that the XRP product was already approved. Under the SEC’s Sept. 17 updated listing framework, exchanges can list qualified spot-crypto ETFs once registration statements become effective, removing the need for separate per-product exchange rule filings. 21Shares filed required amendments in early November and entered the SEC’s standard 20-day effectiveness period, but stressed that operational readiness (custody, clearing, DTCC listing) does not replace the SEC’s final “effective” declaration. Several spot XRP ETFs have already launched in the U.S.; as of Dec. 3 the category recorded $50.27 million in daily net inflows, $874.28 million cumulative inflows and $906.46 million in total net assets — roughly 0.68% of XRP’s market cap. Major incumbents include Canary’s XRPC (~$355M), Grayscale GXRP (~$226M), Bitwise and Franklin Templeton products (~$195M and ~$130M). 21Shares’ clarification underscores that listing visibility on broker platforms can precede but not substitute formal SEC approval — a key consideration for traders monitoring new ETF listings and potential liquidity events in XRP markets.
Neutral
The announcement is neutral for market direction because 21Shares merely clarified procedural status — the ETF is awaiting the SEC’s ‘‘effective’’ declaration rather than being approved or rejected. This reduces the likelihood of an immediate, large directional move caused by sudden approval news, while keeping the prospect of a positive catalyst open if the SEC later declares effectiveness. Short-term impact: limited — traders may see isolated volatility on listing rumors or platform sightings (as occurred), but no sustained price impulse until formal SEC effectiveness and exchange listing notices arrive. The presence of several already-listed spot XRP ETFs (about $906M AUM and notable daily inflows) indicates existing institutional demand; a new entrant like 21Shares could add incremental liquidity and competition over weeks to months. Long-term impact: mildly bullish if 21Shares’ ETF goes live, as additional products generally deepen on‑chain liquidity and broaden regulated retail/institutional access, potentially supporting XRP price appreciation. However, regulatory gatekeeping remains the risk; any SEC delay or negative precedent could cap upside. Traders should watch SEC filings becoming officially ‘‘effective,’’ exchange listing notices, DTCC clearing readiness, and early fund flows — these events typically drive short-lived spikes in volume and can provide entry/exit signals.