Ripple CEO Reacts to Grayscale Relisting XRP, States Bullish Expectation

Grayscale Investments recently made waves in the cryptocurrency sector by announcing the launch of its XRP Trust. This development marks a significant milestone, especially since the fund was shut down due to the legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC). The return of the XRP Trust is now notable for being the first of its kind to re-enter the U.S. markets post-litigation.

Ripple CEO’s Response to Grayscale’s Move

Brad Garlinghouse, CEO of Ripple, has weighed in on the situation. Posting his thoughts on X, Garlinghouse remarked, “Was (pleasantly) surprised to see this news…though inevitable, as well?!”

According to Garlinghouse, Grayscale launched the XRP Trust because of the digital asset’s regulatory clarity in the U.S. and other countries. After the lawsuit, prominent crypto voices revealed that XRP has dual legal clarity.

This clarity opens doors for the asset to grow and gain significant adoption. Garlinghouse added, “I expect it’s only a matter of time for this space to grow,” suggesting massive expansion for XRP soon.

Before the legal action by the SEC, Ripple maintained key business relationships with several U.S.-based companies, including major payment processing firms, and prominent cryptocurrency exchanges. However, many companies had to hold off on these partnerships because of the lawsuit.

The lawsuit also affected international partnerships, as the director of the Australian Freight and Trade Alliance (FTA) revealed in 2023 that the FTA had to put a hold on its partnership with Ripple because XRP’s status was up in the air.

The decision by Grayscale to reinstate the XRP Trust suggests that the legal uncertainties that previously surrounded the digital asset are gone, particularly in light of Ripple’s recent victory over the SEC. This could signal a gradual restoration of confidence in the digital asset among investors and institutional partners who had previously distanced themselves due to the lawsuit.

Is An XRP ETF Coming?

Industry analysts have already started to speculate on the wider implications of Grayscale’s relaunch of the XRP Trust. Many believe this product could pave the way for more financial offerings, including a potential spot XRP ETF.

Garlinghouse has also predicted that XRP ETFs might be launched by early 2025, and such predictions are largely rooted in Grayscale’s history of developing ETF products, which typically begin as trust offerings.

Grayscale did the same for Bitcoin. If this practice continues, the XRP Trust could serve as the precursor for a larger suite of related investment vehicles for digital assets in the U.S. market, including an XRP ETF.

Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.

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