ProShares Cleared to Launch XRP Futures ETFs, Opening Up New Markets for Digital Assets

In a development that might reshape XRP's position in traditional finance, the U.S. Securities and Exchange Commission (SEC) has cleared ProShares' proposal to list XRP futures ETFs.

The U.S. Securities and Exchange Commission (SEC) has cleared ProShares’ proposal to list XRP futures ETFs, a development that could reshape the token’s position in traditional finance.

Slated to list on April 30, the new funds might provide investors with a new, regulated way to ride, or bet against, the choppy currents of crypto’s third-largest asset.

Market responses have been prompt. XRP jumped to $2.32 in early trading on April 28, an increase of 6.5%, on CoinMarketCap. Its market capitalization went up to $135.6 billion, with trading volume rising by over 172% within the last 24 hours.

ProShares, a well-known name in Bitcoin ETFs, initially floated the XRP futures ETFs in January — just as President Donald Trump, who received massive donations from Ripple, was sworn into office. Ripple created and maintains the XRP Ledger and the XRP token.

ProShares’ XRP products aim to provide a variety of strategies, from leveraged exposure to bearish bets, all connected to the XRP Index.

Also Read: XRP Will Overtake Ethereum By 2028: Standard Chartered

While ProShares’ news is making headlines, it’s not necessarily a first-mover benefit. Earlier this month, Teucrium rolled out its own XRP focused ETF, the Teucrium 2x Long Daily XRP ETF XXRP on the NYSE, beating ProShares in and stepping up the stakes in what’s becoming a battle to control the XRP ETF space.

In addition to futures, ProShares has also filed for an XRP spot ETF, a fund that would mirror the true price of the token, not derivatives — but that is still pending with the SEC. In the meantime, Brazil has beaten everybody to the punch, approving Hashdex’s spot XRP ETF last week, highlighting how some overseas markets are racing ahead while the U.S. regulatory machine grinds along a bit more slowly.

Adding further velocity to XRP’s institutional rally, Reuters reported that CME Group plans to bring XRP futures contracts to the market on May 19 to diversify beyond Bitcoin and Ethereum.

It is important to understand the distinction between a futures ETF and a spot ETF. A futures ETF does not entail owning XRP directly. Rather, it provides a way for investors to wager on what direction XRP’s price will move, providing exposure without the inconvenience of crypto wallets, private keys, or the shadow of hacking scandals. It’s a neater, albeit occasionally more expensive, means of gambling on the future of a digital asset.

The SEC’s endorsement is being touted as another move toward mainstreaming crypto in traditional financial systems. Institutional investors, previously hesitant to wade into the turbulent seas of cryptocurrency, are starting to dip their toes in. Reuters cited growing institutional demand for Solana and XRP after similar ETF approvals, a trend that might increase speed if additional products are approved.

XRP seems to be lapping up the limelight, an unusual solo performance in a market more typically dominated by Bitcoin’s every step. Whether this bull run has substance or is merely a pre-launch party time remains to be discovered. But one thing is sure: with futures ETFs on the horizon and institutional doors creaking ajar, Ripple’s token has bigger quarters waiting for it.