Franklin Templeton Eyes XRP ETF Launch as Market Pullback Hits XRP Hard

• Franklin Templeton updated its XRP ETF filing to remove the SEC’s delay clause.
• Other issuers like Bitwise, Canary, and CoinShares are also advancing XRP ETF plans.

Franklin Templeton has moved closer to introducing a spot XRP exchange-traded fund (ETF) after updating its regulatory filing with the U.S. Securities and Exchange Commission (SEC).

The asset manager’s revised S-1 registration eliminates a procedural clause that previously allowed the SEC to delay the effectiveness of the registration.

The amendment removes the “8(a)” delaying provision, a standard mechanism the SEC uses to hold back ETF approvals pending explicit authorization. By deleting it, Franklin Templeton enables the registration statement to become automatically effective once other conditions are met.

The move mirrors tactics used earlier this year by Bitcoin and Ethereum ETF issuers, who achieved swift listings following similar amendments.

The timing underscores Franklin Templeton’s growing commitment to digital assets. The firm, which manages over $1 trillion globally, already offers exposure to Bitcoin and Ethereum. An XRP ETF would expand its crypto lineup and increase its confidence in the maturing digital-asset market. 

Competitors Join the XRP ETF Race

Franklin Templeton joins a growing roster of institutions racing to secure approval for XRP-related investment vehicles. Canary Funds has already amended its filing, targeting a mid-November debut, while Bitwise Asset Management has finalized its fee and custodian details.

Momentum across the XRP ETF ecosystem continues to accelerate. REX–Osprey’s XRPR product recently surpassed $100 million in assets under management. CME Group has also broadened its XRP derivatives offerings by introducing new options contracts.

ProShares and CoinShares are also moving forward. ProShares filed to launch the CoinDesk Crypto 20 ETF, tracking assets such as XRP and Solana, while CoinShares updated its own XRP ETF registration to include a Nasdaq ticker symbol, “XRPL.”

Navigating the SEC’s Slowed Review Process

The recent U.S. government shutdown has hindered SEC operations, delaying approvals across financial markets. To counter regulatory backlogs, firms like Franklin Templeton and Bitwise are utilizing the “auto-effective” pathway, which allows filings to become active without requiring direct SEC consent.

SEC Chair Paul Atkins has endorsed this mechanism for facilitating product innovation, effectively encouraging issuers to proceed under existing legal allowances. Grayscale Investments has also moved ahead with its proposed Grayscale XRP Trust, filing a second amendment to its S-1 on November 3. 

The company’s successful conversions of its Bitcoin and Ethereum trusts into spot ETFs earlier this year demonstrate a functional blueprint for navigating SEC processes. Grayscale, which manages around $38 billion in digital assets.

XRP Market Activity Intensifies

XRP has shown renewed trading activity despite recent price weakness. The token trades at $2.21, down 2% in the past 24 hours, after fluctuating between $2.12 and $2.66 over the week, a 13% decline for the period. 

Over the past month, XRP has lost approximately 24%, now standing nearly 38% below its all-time high of $3.65, recorded in July. Daily trading volume has increased 61.6% to $9.85 billion, indicating heightened participation despite persistent selling pressure.