WisdomTree, one of the first companies to issue a spot Bitcoin exchange-traded fund (ETF) in the US in January, has filed to launch a spot ETF backed by XRP.
On December 2nd, WisdomTree became the fourth company in the United States. submit Form S-1 to file a Spot XRP (XRP) ETF with the U.S. Securities and Exchange Commission.
Observations on the XRP ETF by Bloomberg ETF Analyst Eric Balchunas. Source: Eric Balchunas/Eleanor Tellet
WisdomTree's new ETF, WisdomTree XRP Fund, aims to provide investors with exposure to XRP prices through the issuance of shares listed on the Cboe BZX exchange.
Subject to SEC approval, the new fund will issue and redeem shares using a cash-create method or in exchange for cash, with the in-kind model subject to further approval.
Coinbase affiliates act as primary execution agents and XRP custodians
According to the filing, both the lead executive agent and the XRP custodian are affiliates of U.S. cryptocurrency exchange Coinbase Global.
“Coinbase serves as the XRP custodian and lead execution agent for several competing exchange-traded XRP products, and plays an important role in supporting the U.S. spot XRP exchange-traded product ecosystem. ” states WisdomTree's filing.
WisdomTree also relies on Coinbase for its WisdomTree Bitcoin Fund (BTCW), which began trading on January 11th along with nine other spot Bitcoin ETFs.
Previous spot XRP ETF filings came from Bitwise, Canary Capital, and 21Shares.
WisdomTree joins three other ETF issuers, including crypto asset management firm Bitwise, Canary Capital, and 21Shares, in S-1 filings for Spot XRP funds.
Bitwise was one of the first companies to file for a spot XRP ETF, filing Form S-1 for the Bitwise XRP ETF on October 2nd. Bitwise was also one of the first spot XRP ETF issuers, debuting the Bitwise Bitcoin ETF (BITB) in January. .
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Canary Capital followed Bitwise's steps and filed an S-1 with the SEC for the Canary XRP ETF on October 9th.
21Shares, the co-issuer of Cathie Wood's ARK Invest and ARK 21Shares Bitcoin ETF, filed a Form S-1 for the Core XRP Trust on November 1st. The trust does not provide investors with direct exposure to XRP, but does provide an “investment opportunity.” Access the market indirectly. ”
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