XRP Lawsuit News: SEC Halts Grayscale ETF—What It Means for XRP and Future ETFs
The post XRP Lawsuit News: SEC Halts Grayscale ETF—What It Means for XRP and Future ETFs appeared on BitcoinEthereumNews.com. The U.S. Securities and Exchange Commission (SEC) has stunned the crypto market once again, this time by suspending the trading of Grayscale’s Digital Large Cap (GDLC) ETF—a multi-asset fund that includes XRP and Solana. The move has not only triggered confusion but has reignited conversations around the legal and regulatory path ahead for Ripple, XRP, and broader crypto ETF approvals. SEC Puts Brakes on Grayscale’s ETF On July 3, the SEC halted the launch of the GDLC ETF just days after approving it for trading on NYSE Arca. The ETF, managed by Grayscale, is composed primarily of Bitcoin and Ethereum but also allocates 4.8% to XRP and 2.8% to Solana. While the fund had received a green light under delegated authority, the SEC invoked Rule 431 to initiate an internal review, effectively pausing its debut. The SEC has suspended Grayscale’s plan to convert its Digital Large Cap Fund into a spot ETF, citing the inclusion of BTC, ETH, SOL, XRP, and ADA. Source: CryptoMutant via X Grayscale called the SEC’s reversal “unexpected,” stating in an email to Decrypt, “While this development was unexpected, it reflects the dynamic and evolving nature of the regulatory landscape surrounding a first-of-its-kind digital asset product like GDLC.” This sudden suspension has raised eyebrows across the industry, particularly among those following the XRP lawsuit and Ripple’s ongoing legal battle with the regulator. XRP and Solana in the Crosshairs Though the SEC didn’t provide a detailed explanation, experts believe the presence of altcoins like XRP and Solana—which do not yet have approved standalone ETFs—played a central role in the pause. James Seyffart, ETF analyst at Bloomberg, noted that the move is likely a precautionary measure. “The SEC seems to be signaling that it wants to finalize a robust regulatory framework before allowing ETFs with altcoin exposure to…
The post XRP Lawsuit News: SEC Halts Grayscale ETF—What It Means for XRP and Future ETFs appeared on BitcoinEthereumNews.com.
The U.S. Securities and Exchange Commission (SEC) has stunned the crypto market once again, this time by suspending the trading of Grayscale’s Digital Large Cap (GDLC) ETF—a multi-asset fund that includes XRP and Solana. The move has not only triggered confusion but has reignited conversations around the legal and regulatory path ahead for Ripple, XRP, and broader crypto ETF approvals. SEC Puts Brakes on Grayscale’s ETF On July 3, the SEC halted the launch of the GDLC ETF just days after approving it for trading on NYSE Arca. The ETF, managed by Grayscale, is composed primarily of Bitcoin and Ethereum but also allocates 4.8% to XRP and 2.8% to Solana. While the fund had received a green light under delegated authority, the SEC invoked Rule 431 to initiate an internal review, effectively pausing its debut. The SEC has suspended Grayscale’s plan to convert its Digital Large Cap Fund into a spot ETF, citing the inclusion of BTC, ETH, SOL, XRP, and ADA. Source: CryptoMutant via X Grayscale called the SEC’s reversal “unexpected,” stating in an email to Decrypt, “While this development was unexpected, it reflects the dynamic and evolving nature of the regulatory landscape surrounding a first-of-its-kind digital asset product like GDLC.” This sudden suspension has raised eyebrows across the industry, particularly among those following the XRP lawsuit and Ripple’s ongoing legal battle with the regulator. XRP and Solana in the Crosshairs Though the SEC didn’t provide a detailed explanation, experts believe the presence of altcoins like XRP and Solana—which do not yet have approved standalone ETFs—played a central role in the pause. James Seyffart, ETF analyst at Bloomberg, noted that the move is likely a precautionary measure. “The SEC seems to be signaling that it wants to finalize a robust regulatory framework before allowing ETFs with altcoin exposure to…
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