The United States Securities and Exchange Commission (SEC) announced on September 10, 2025, that it will extend the review period for the Franklin XRP exchange-traded fund (ETF) proposed by Cboe BZX Exchange Inc. The new deadline for a final decision is set for November 14, 2025. This marks the second delay by the SEC, following an initial postponement in April and the initiation of formal proceedings in June, which originally set a September 15 cutoff date.
SEC Extends Review Timeline
The application, submitted on March 13, 2025, seeks approval under BZX Rule 14.11(e)(4) governing commodity-based trust shares. Under the Securities Exchange Act, the Commission must act within 180 days of publication in the Federal Register. The regulator stated in its notice that a longer period is necessary “to consider the proposed rule change, and the issues raised therein.” While the extension may seem cautious, industry observers view it as a routine procedural step rather than a sign of rejection.
Market Sentiment Remains Bullish
Despite the SEC's deliberate pace, market confidence in approval continues to climb. As of September 10, data from decentralized prediction platform Polymarket indicated an implied probability of 92% for a spot XRP ETF approval. Amendments to filings by multiple asset managers suggest active dialogue with SEC staff, which is often interpreted as a precursor to regulatory greenlight.
Nate Geraci, president of Novadius Wealth Management, commented on social media platform X: “Personally think closer to 100% … People are severely underestimating investor demand for spot XRP & SOL ETFs. Just like they did w/ spot BTC & ETH ETFs.” Bloomberg ETF analysts James Seyffart and Eric Balchunas maintained their approval forecast at 95%, reflecting growing confidence that regulatory engagement is progressing positively.
Institutional Race for XRP ETF
Several prominent asset management firms have filed with the SEC to launch XRP exchange-traded products (ETPs) to provide investors with direct exposure to XRP through regulated vehicles. Filers include Grayscale, which seeks to convert its existing XRP Trust into an ETF, along with 21Shares, Bitwise, Franklin Templeton, WisdomTree, Canary Capital, Coinshares, and REX & Osprey. These filings come on the heels of approved spot bitcoin and ethereum ETFs, underscoring robust institutional appetite for XRP.
With bitcoin and ether ETFs already operational, many analysts argue that an XRP product represents the logical next step in broadening regulated crypto investment opportunities. As the SEC deliberates, the market eagerly awaits its final verdict, which could set a precedent for other altcoin ETFs.