SEC delays decisions on XRP and Dogecoin ETFs

The agency opens formal review for both 21Shares and Grayscale spot ETF proposals, with Bloomberg’s Seyffart predicting no approvals before Q3.

Photo: Tierney L. Cross

Key Takeaways

• The SEC has delayed decisions on the 21Shares XRP ETF and the Grayscale Dogecoin ETF to evaluate compliance with regulations.
• Public comments are being solicited as part of the review process, with a review period extended beyond the original deadlines.

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The US Securities and Exchange Commission today extended its review period for spot crypto ETF applications from 21Shares and Grayscale, initiating formal proceedings to evaluate their XRP and Dogecoin investment products, respectively.

The SEC suspended the original May 21-22 decision deadlines to further examine whether the proposals meet Exchange Act Section 6(b)(5) requirements for preventing fraud and protecting investors.

The 21Shares Core XRP Trust plans to track the CME CF XRP-Dollar Reference Rate and use Coinbase Custody for storage. Grayscale’s Dogecoin Trust would follow CoinDesk’s Dogecoin Price Index. Both ETFs would issue shares in 10,000-share blocks.

Commenting on the XRP ETF delay, Bloomberg ETF analyst James Seyffart said such delays are routine and expected.

“A bunch of XRP ETPs have dates in next few days,” he wrote. “If we’re gonna see early approvals from the SEC on any of these assets — I wouldn’t expect to see them until late June or early July at absolute earliest. More likely to be in early Q4.”

The SEC emphasized that the proceedings do not indicate its final position on the applications. The agency is seeking public comments within 21 days of Federal Register publication, with rebuttal submissions due within 35 days.

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