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Spot XRP ETF: Futures ETF Is Not Required For Approval Says Bloomberg Analysts

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The crypto market anticipates a spot XRP ETF after the U.S. Securities and Exchange Commission (SEC) approved spot Bitcoin ETFs in mid-January, setting the stage for potential approval of spot Ethereum ETFs. Moreover, Ripple’s hiring for a senior manager role in the institutional Decentralized Finance (DeFi) space and hints from Bitcoin ETF issuers are considered a preparatory move for XRP ETF.

ETF Analysts Clear the Air on Spot XRP ETF Requirements

Reacting to an X post with a Grok AI chatbot’s response that a spot XRP ETF will not require approval of a futures ETF, Fox Business journalist Eleanor Terrett asked Bloomberg ETF analysts Eric Balchunas and James Seyffart whether a futures ETF is necessary for a spot ETF approval.

Eleanor Terrett asserts the CME Bitcoin futures market as a surveillance tool was one of the key reasons behind the SEC’s spot Bitcoin ETF approval.

Bloomberg ETF analyst James Seyffart said, “A futures ETF is not required.” However, a regulated market is an essential parameter for the SEC when deciding to approve any ETFs. The CME Bitcoin futures market is indeed a surveillance tool for spot Bitcoin ETF.

Financial expert Scott Johnsson also agreed with James Seyffart that “You need a futures market, not necessarily a futures ETF.” Moreover, he explained that a futures ETF helps add liquidity to the futures market, improving trading activity and correlation with spot prices that boosts probabilities for a spot ETF.

Also Read: Chinese Fund Giant Harvest Submits Spot Bitcoin ETF Application to Hong Kong SEC

Will SEC Approve a Spot XRP ETF?

Despite Ripple’s partial win against the SEC as Judge Analisa Torres ruled that XRP is not a security, a potential approval of a spot Bitcoin ETF seems unlikely. A ruling on the institutional sale of XRP is still pending before the court.

Bloomberg analysts explained earlier that XRP is not going to get through the SEC’s door. It needs a CME XRP market or Congress-passed market structure and products, with XRP still not on the first step. The crypto market to keep an eye on the SEC’s decision on Ethereum ETFs.

Also Read: Top Analyst Predicts Solana (SOL) Price To Hit $113 Soon 

The post Spot XRP ETF: Futures ETF Is Not Required For Approval Says Bloomberg Analysts appeared first on CoinGape.

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Pro-XRP Lawyer John Deaton Discloses 80% Of His Net Worth Is In Bitcoin

Massachusetts Republican senatorial candidate and pro-XRP attorney John E. Deaton reportedly holds 80% of his personal wealth in the world’s largest cryptocurrency by market value, Bitcoin (BTC), making him one of the most bullish politicians in the United States. Deaton also holds other cryptocurrencies, including Ether, XRP, and Solana.

Outspoken Crypto Defender John Deaton’s Crypto Holdings Revealed

Lawyer-turned-politician John Deaton, who hopes to unseat ardent crypto critic Sen. Elizabeth Warren in the Massachusetts Senate race, has attracted attention in the cryptosphere for his ongoing defense of cryptocurrencies, specifically Ripple’s XRP, amid the fintech startup’s four-year legal dispute with the United States Securities and Exchange Commission.

The fierce crypto advocate personally intervened in the lawsuit (filing numerous amicus curiae briefs on behalf of XRP tokenholders) and was largely vindicated, as Ripple partially won the high-profile case in July 2023 and the SEC later dropped charges against the company’s current and former CEOs.

FOX Business reporter Eleanor Terrett recently revealed that Deaton has put his money where his mouth is, with a massive 80% of his net worth tied up in Bitcoin (BTC) or BTC-related investments. According to Terrett, Deaton also has undisclosed holdings in Ethereum (ETH), Solana (SOL), and XRP.

SCOOP: Is Massachusetts Senate candidate @JohnEDeaton1 the biggest holder of #Bitcoin of any elected official/candidate? His recent financial disclosures show that around 80% of his net worth is in $BTC or $BTC related investments. He also owns $ETH, $SOL and $XRP.

— Eleanor Terrett (@EleanorTerrett) July 24, 2024

Notably, Deaton’s supporters aren’t limited to staunch XRP fanatics, though. The broader crypto community has also supported his campaign due to frustrations with Warren’s “anti-crypto” influence.

Crypto And US Elections

Crypto has become a hot-button issue for many candidates running for office in 2024, including former U.S. President Donald Trump. The Republican nominee has pledged to support Bitcoin mining in the United States and is widely expected to announce plans for a strategic Bitcoin (BTC) reserve.

Ripple has donated roughly $1 million to the super political action committee (PAC) Commonwealth Unity Fund to support Deaton’s campaign. Other prominent figures in the crypto community, including Gemini founders Tyler and Cameron Winklevoss, Kraken co-founder Jesse Powell, Ripple’s executive chairman Chris Larsen, and Cardano creator Charles Hoskinson, have also contributed to his campaign.

It’s unclear if Deaton’s crypto legal work could boost his Senate campaign, with election day less than five months away. Both candidates for the Massachusetts seat in the U.S. Senate have significantly different outlooks on crypto assets. Senator Warren famously declared that she would build an “anti-crypto army.” She claimed on July 25 that crypto mining operations in the U.S. threaten national security, with “foreign adversaries” running crypto mining companies that could be used “to spy on U.S. military operations.”