BlackRock Snubs XRP ETF—Here’s Why Wall Street’s Favorite Whale Won’t Bite
Despite retail traders screaming for an XRP ETF, BlackRock keeps its wallet sealed shut. The asset management giant—which moves markets with a single SEC filing—still treats Ripple’s token like the risky cousin at a family reunion.
Regulatory ghosts haunt the play: The SEC’s lingering lawsuit (settled but not forgotten) left institutional investors spooked. Meanwhile, BlackRock’s Bitcoin and Ethereum ETFs already print money—why gamble on a ’tainted’ altcoin?
Behind the scenes: Sources whisper that custody hurdles and ’lack of institutional demand’ (read: no hedge fund bribes... err, ’incentives’) keep XRP in the penalty box. But hey—when did Wall Street ever miss a chance to cash in? Maybe they’re just waiting for Ripple to bleed enough legal fees first.
XRP ETF: BlackRock’s Concerns Around SEC, Demand, And Risks
Successful Existing ETF Products
BlackRock has put an XRP ETF development on hold as the company achieves major success from its current crypto product line. Their Bitcoin ETF holds more than $30 billion assets while their Ethereum ETF exceeded $1 billion in its first two months of operation.
Fake Filing Complications
BlackRock encountered issues as a result of a fictitious XRP ETF filing that happened in 2023. Additional cryptocurrency offerings by BlackRock seem to be stalled because of the recent fake XRP ETF filing incident.
Regulatory Uncertainty Challenges
The lawsuit between Ripple and SEC presents a major challenge to the development of any BlackRock XRP Exchange-Traded Fund. Major asset managers delay XRP-based product ventures because they need regulatory clarification before taking them seriously.
FOX Business correspondent Charles Gasparino discussed the situation in an interview:
Competitors Making Early Moves
While BlackRock continues to hesitate on offering an XRP ETF, several smaller firms are already taking initiative in this area. Grayscale, for instance, has already submitted an XRP ETF filing, which puts extra pressure on regulators to provide clearer guidelines for such investment vehicles.
Insufficient Institutional Demand
Bitwise CIO Matt Hougan has noted regarding institutional interest:
Market Contradictions
Several strategic institutions continue to fuel Bitcoin ETFs as they display exceptional interest in BTC yet the $100,000 resistance level continues to block Bitcoin’s price appreciation despite positive crypto market analysis. The contradictory market behavior leaves several crucial questions about what actual forces move Bitcoin prices in its present state.
ETF Money Meets Stubborn Resistance
Recent Bitcoin ETF products have received $3.06 billion in new investments despite BTC remaining under the important price mark. Bitcoin showed a 30% price gain that started from its April 7 trough at $74,400 yet this recovery lacked enough strength to defeat the important $100K barrier which investors are tracking.
