Steven McClurg, the Chief Investment Officer of ETF issuer Valkyrie, has expressed that an XRP ETF could become a reality before that of Ethereum.
McClurg voiced this sentiment during a fireside chat with FOX Business correspondent Eleanor Terrett at the Digital Wildcatters Empower Conference. Terrett called attention to the view in a recent post on X.
🚨NEW: Some key takeaways from my fireside chat at @DWildcatters Empower Conference with @ValkyrieFunds CIO @stevenmcclurg:
📌He believes $ETH could be a security and the spot ETF will not get approved in May.
📌He thinks it’s more likely a $LTC or $XRP spot ETF gets approved… pic.twitter.com/6VjaBEXubL
— Eleanor Terrett (@EleanorTerrett) March 27, 2024
Why XRP ETF May Precede Ether ETF
Per the disclosure, McClurg believes the U.S. regulator could assent to an XRP exchange-traded fund (ETF) before endorsing that of Ethereum. The FOX correspondent revealed that McClurg reached this conclusion following recent developments concerning ETH’s regulatory status in the United States.
Recall that a week ago, The Crypto Basic reported that the U.S. SEC was working underground, gathering financial information and other records to potentially classify Ethereum as a security as it did with XRP in 2020.
The development has unsettled the crypto scene, coming as a surprise especially considering the known relationship the founders of Ethereum have had with the SEC leadership. However, at press time, there is no official pronouncement from the SEC regarding ETH being a security.
Meanwhile, Valkyrie’s executive, McClurg, believes the litigation could eventually materialize and that the development will impact the existing application for Ethereum-based spot ETFs. As Terrett disclosed, McClurg does not see approval for the spot ETH ETF by the latest May deadline.
On the other hand, he expressed that the crypto community would witness spot ETFs of Litecoin (LTC) and XRP before that of Ethereum. This view is further strengthened by the fact that XRP has secured a clear regulatory position in the U.S.
Other Experts Expecting XRP ETF
It is worth mentioning that while applications are pending for an Ethereum ETF, no such application exists for XRP. However, prominent figures in the XRP community have repeatedly urged leading asset managers to apply to list an XRP ETF.
Nonetheless, optimism remains high about the actualization of a spot XRP ETF. For instance, Ripple’s ex-director Sean McBride has suggested a 2024 timeline.
Martin Hiesboeck, the Head of Research at Uphold, a U.S.-based exchange, recently reinforced this sentiment by stating that “an XRP ETP is around the corner.”
Besides, Ripple’s CEO Brad Garlinghouse has stated that an XRP ETF is inevitable and that he would welcome it.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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