Cboe Files Applications for Multiple XRP ETFs

Cboe Exchange, based in Chicago, has filed four separate applications with the US Securities and Exchange Commission (SEC) for XRP exchange-traded funds (ETFs) from notable asset managers Canary Capital, WisdomTree, 21Shares, and Bitwise.

The decision to file for XRP ETFs comes during a time of decline for the cryptocurrency, which has lost 24% of its value in the past week despite reaching its all-time high of nearly $3.40 the previous month.

One potential hurdle for approval is XRP’s lack of an established futures market on the Chicago Mercantile Exchange (CME), a key factor that the SEC looks at for making decisions on Bitcoin and Ethereum ETFs.

In an effort to increase the chances of approval, WisdomTree is taking precautions such as sourcing XRP from secondary markets rather than directly from Ripple Labs.

Other measures being implemented by asset managers include improved market monitoring, third-party storage solutions for XRP holdings, storing funds in cold storage, and having systems in place to halt trading if necessary.