XRP ETF applications have now officially begun, as Franklin Templeton has just filed for a spot XRP ETF with CBOE. This is, without a doubt, a significant development in the cryptocurrency space, coming right after spot Bitcoin and Ethereum ETFs have been approved in the U.S.
JUST IN: $1.5 trillion Franklin Templeton files for spot $XRP ETF with CBOE.
— Watcher.Guru (@WatcherGuru) March 13, 2025
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Franklin Templeton’s $1.5 Trillion XRP ETF Filing Amid Crypto Risks
Franklin Templeton, which currently manages approximately $1.5 trillion in assets, has just submitted a filing with the Securities and Exchange Commission (SEC) to list and trade shares of the Franklin XRP ETF under BZX Rule 14.11(e)(4), Commodity-Based Trust Shares. The application was filed on March 13, 2025, and is right now under review by regulators.
SEC Filing Details
According to the SEC Form 19b-4 filed by Cboe BZX Exchange, the proposed ETF would track the price of XRP through the CME CF XRP-Dollar Reference Rate. The document explicitly states: “The Exchange proposes to list and trade shares of the Franklin XRP Fund, under BZX Rule 14.11.”
The filing indicates that CSC Delaware Trust Company would serve as the trustee, while Coinbase Custody Trust Company, LLC would be responsible for custody of the fund’s XRP. The structure, at the time of writing, closely resembles that of previously approved spot Bitcoin and Ethereum ETFs.
Market Reaction
The news has caused significant excitement in the XRP community. Several crypto users have already commented on this development.
Rizirto posted “bullish for XRP” while other users such as Chris FlipZ mentioned “XRP to 10$”. Additionally, Vladyslav Dimov noted that “Financial markets fell to give an opportunity to buy at a good price. Now it’s time to go up, with such good news.”
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What Could Happen To XRP’s Price
If approved, a spot XRP ETF could also provide traditional investors with regulated exposure to XRP without directly owning the cryptocurrency. This could, in turn, also bring significant institutional capital into the XRP markets.
The filing comes at a particularly interesting time, following the July 2023 partial victory for Ripple Labs in its case against the SEC, where the court ruled that XRP, as a digital token, is not in itself a contract that embodies the Howey requirements of an investment contract.
Despite the latest filing, the approval process may face some more regulatory hurdles. The SEC filing acknowledges these challenges, noting: “The Sponsor believes that it is applying the proper legal standards in making a good faith determination that it believes that XRP is not under these circumstances a security under federal law.”
Unique Features of XRP Highlighted in Filing
The SEC document emphasizes several distinguishing features of XRP and the XRP Ledger:
- Unlike Bitcoin’s proof-of-work system, XRP uses a consensus-based algorithm that is also more energy-efficient
- The XRP Ledger can handle up to 1,500 transactions per second
- Transaction fees are extremely low, typically just a fraction of a cent
- The 100 billion XRP tokens were created at launch in 2012, not mined over time like some other cryptocurrencies
What This Means for Investors
An XRP ETF would represent a very important milestone in the mainstream acceptance of XRP as an investable asset class. The filing also indicates some growing confidence in the regulatory clarity around XRP following the latest and greatest Ripple SEC case.
For retail investors, an ETF would also offer a fresh and useful way to gain exposure to XRP through traditional brokerage accounts without dealing with cryptocurrency exchanges or wallets.
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Franklin Templeton’s move follows the successful launches of spot Bitcoin ETFs in January 2024 and spot Ethereum ETFs in May 2024, which have seen billions in inflows since their inception.
Across various major financial sectors, the XRP community is, at this point in time, actively monitoring whether regulators will approve this latest crypto ETF application, with numerous significant market participants expressing optimism regarding the potential outcome of this critical regulatory decision. Multiple essential investment stakeholders have also, right now, catalyzed several key discussions about the implications of such regulatory developments, and various industry experts are currently leveraging their professional insights to assess how this situation might evolve in the coming weeks and months.
