Renowned software engineer and crypto analyst Vincent Van Code has forecasted that the U.S. Securities and Exchange Commission (SEC) is likely to approve several spot-based XRP Exchange-Traded Funds (ETFs) by May 2025.
His prediction follows closely on the heels of the SEC’s decision to delay rulings on the spot XRP ETF applications filed by major players like Grayscale Investments, Canary, and 21Shares. These delays have sparked speculation across the crypto community, with investors now closely watching the next approval deadlines for these filings, as well as others in the pipeline.
Van Code suggests that the regulatory body’s postponement indicates a growing willingness to eventually greenlight such products, mirroring the SEC’s recent approach to spot Bitcoin ETFs. If approved, these XRP ETFs could mark a significant milestone for the cryptocurrency market.
Expert Predicts Multiple XRP ETF Approvals Could Happen on May 22
Vincent predicts that the SEC will approve multiple XRP ETF applications on May 22, 2025, a pivotal date for the cryptocurrency market. This date aligns with the deadline for the SEC’s decision on the 21Shares XRP ETF, one of the key filings under review. Additionally, the SEC’s decisions on other major XRP ETF applications are also expected around this timeframe.
Specifically, the SEC must rule on Grayscale’s request to convert its XRP Trust into a spot ETF by May 21, just one day before the anticipated approval date. Similarly, the SEC is required to make a decision on Bitwise’s XRP ETF by May 25, pushing all activity within a tight window.
Vincent notes that this timeline could mark a significant milestone for XRP and the broader cryptocurrency industry, as multiple approvals would signal growing acceptance of crypto-based ETFs in the mainstream financial sector. May 22, 2025, could therefore become a landmark date for XRP investors and the evolution of crypto ETFs.
How XRP ETFs Could Transform the Market
Vincent noted that while the approvals may not immediately boost XRP’s price, they could legitimize the cryptocurrency as a regulated digital asset. This legitimacy, he believes, will make XRP an appealing option for investors looking for a liquid and compliant cryptocurrency.
He also pointed out that the approvals could simplify access for traditional investors who lack experience with wallets or AML/KYC requirements. Using their existing trading accounts, these investors would be able to buy XRP-related products without dealing directly with the cryptocurrency.
It’s important to highlight that investing in XRP ETFs doesn’t involve directly purchasing XRP. Instead, investors buy shares of the fund, gaining indirect exposure to XRP’s price movements.
Vincent predicted that ETF trading volumes could have a significant impact on XRP’s price within the first year of approval. However, he also anticipates a short-term price surge in response to the news of the approval.
Is the SEC Set to Approve XRP ETFs This May?
The approval of an XRP ETF by the SEC on May 22 remains uncertain, leaving the crypto community in anticipation. Some speculate that the ongoing lawsuit between the SEC and Ripple could pose challenges to the approval of XRP ETFs. However, legal experts have clarified that the approval process for XRP ETFs is largely independent of the lawsuit’s outcome, as the SEC’s decision-making on ETFs is guided by specific regulatory criteria.
Interestingly, the SEC has been gradually shifting its approach to cryptocurrency policies, with recent actions including the termination and freezing of various legal proceedings against crypto-related businesses.
Despite some progress, the SEC has yet to decide on the Ripple case following previous court rulings. Attorney Jeremy Hogan, a prominent legal analyst in the crypto space, forecasts that a resolution to the Ripple lawsuit could occur by April or May 2025, offering some clarity to the case.
Hogan’s timeline aligns with predictions from other experts, such as Vincent, who expects the SEC to approve multiple XRP ETFs around the same period.
Also Read: SEC XRP ETF Approval Potential and Timeline: Predictions & Insights