Upcoming developments from XRP

There are promising developments regarding XRP, the fourth most valuable cryptocurrency in the world by market capitalization.

The company that issued XRP, Ripple Labs, and the SEC have reached a turning point in their long-standing lawsuit. Ripple Labs CEO Brad Garlinghouse announced over the weekend on his X account, formerly known as Twitter, that Ripple has withdrawn its appeal against the SEC. Garlinghouse stated, "As previously announced by the SEC, the Commission is also expected to withdraw its appeal. We are closing this issue once and for all and focusing on the most important matter, which is to build the Internet of Value. Stay tuned."

If what Garlinghouse says turns out to be true, the lawsuits will be dropped and Ripple will emerge victorious from the legal battle it has been waging against the SEC for years. It is worth remembering that the SEC, under the leadership of Gary Gensler, known for keeping a distance from crypto, had filed a lawsuit against Ripple Labs on the grounds that it "sold unregistered securities." The Ripple side emphasized that XRP is not a security, but a commodity.

Is the future bright for XRP?

The crypto market has been introduced to institutional purchases since the start of 2024, following the approval for spot Bitcoin to be traded in exchange-traded funds (ETFs). ETFs, which allow Bitcoin to be purchased through traditional financial institutions without any cryptocurrency exchange, are now the catalyst of the market. So far, the U.S. regulatory body has only approved Bitcoin and Ethereum. The ETF applications for other major cryptocurrencies, including XRP, are currently pending by the SEC.

Optimistic Views on ETF Approval

There are those who believe that after the thaw between Ripple Labs and the SEC, the approval of an XRP ETF is imminent. Nate Geraci, the President of ETF Store, stated the following on his X account regarding the matter: "The closure of the Ripple case paves the way for the spot XRP ETF. It also opens the door for BlackRock to enter this space."

As a reminder, the spot XRP ETF product was first listed in Brazil and then received approval from the Canadian regulatory authority to start trading in North America. According to a study conducted by JPMorgan on the matter, if XRP begins to be listed in the U.S., it could witness a significant influx of capital. The bank predicts that through XRP's ETF products, an accumulation of assets between 4 to 8 billion dollars is expected.

On the other hand, Bloomberg's senior ETF reporters suggested that XRP has a 95% chance of receiving approval from the SEC for the ETF product.

"The only cryptocurrency with regulatory clarity is XRP"

The reduction of regulatory pressure on XRP has not gone unnoticed by the AI bot aixbt, which is famous for its market analyses. Among the shining stars of the sector, aixbt stands out with its high market value as an AI assistant that can be translated into Turkish as (. Regarding the matter, it made the following comment: "XRP has become the only major cryptocurrency with full regulatory clarity. ETF applications are expected to wait until July 2025."

The signals of relaxation in regulations have positively affected XRP's market sentiment. According to data from the platform Santiment, which measures investor sentiment in the crypto market, there is an increase specifically for XRP. Santiment's statement on the matter is as follows: "While cryptocurrencies have been moving sideways, individual investor interest in Bitcoin and Ethereum has decreased. However, in terms of positive and negative comments regarding XRP, XRP sentiment is at a peak for the past two weeks. This increase came after the agreement between Ripple and the SEC."

On the other hand, the elimination of legal uncertainties has led to an increase in the number of whales holding XRP. According to Coinmetrics data, the number of wallets holding more than 1 million XRP has reached an all-time high in the last two weeks. As of the time of writing, XRP, which gained 8.2% last week, was trading at $2.18.

This article does not contain investment advice or recommendations. Every investment and trading action carries risks, and readers should conduct their own research when making decisions.