XRP ETF News: SEC Delays Decision on Franklin Templeton’s XRP ETF, Adding Fuel to Investor Anticipation

The delay—announced through a formal notice—follows the regulator’s routine procedure of taking additional time to evaluate crypto-linked investment proposals.

Franklin Templeton, a financial heavyweight managing over $1.5 trillion in assets, submitted the XRP ETF application on March 13, with the proposal published in the Federal Register on March 19. The SEC was initially expected to respond by May 3, but cited the need for more time to consider the proposed rule change and the issues it raises.

The SEC has postponed its decision on Franklin Templeton’s XRP spot ETF application to June 17. Source: SEC

“The Commission finds it appropriate to designate a longer period within which to take action… so that it has sufficient time to consider the proposed rule change and the issues raised therein,” the SEC stated.

This marks another chapter in the ongoing XRP SEC standoff, with the agency maintaining its cautious stance toward crypto-based investment products despite growing interest from traditional finance giants.

Franklin Templeton’s filing to list the Franklin XRP Trust on the Cboe BZX Exchange would be the first big U.S.-based spot XRP ETF, offering direct exposure to the price of XRP without taking direct ownership of the asset. It’s a big deal, especially for XRP fans who have been advocating for broader institutional adoption.

The proposal arrives in the wake of increasing expectations for the outcome of the Ripple lawsuit and XRP lawsuit news, as regulatory clarity continues to drive market sentiment. Despite repeated setbacks, there is still hope, especially under the new SEC Chair, Paul Atkins, who is known for his pro-crypto inclinations.

Even as the SEC delays its decision, XRP price has remained relatively stable, trading around $2.29 with modest intraday gains. According to market data, the token recorded a 0.86% increase at press time, reflecting resilience despite a significant dip in trading volume—down over 46% to $2.64 billion.

XRP was trading at around $2.29 at press time. Source: XRP Liquid Index (XRPLX) via Brave New Coin

Some analysts attribute this price stability to broader market consolidation and lingering optimism from previous news about futures-based XRP ETFs. Others caution that investor interest could wane if the SEC continues to stall decisions on products like the Franklin XRP Fund.

Franklin Templeton isn’t alone. The SEC also postponed decisions on other crypto ETF filings, including Grayscale’s Ethereum staking ETF, Bitwise’s Dogecoin ETF, and Franklin’s own Solana ETF proposal. These delays are seen by many as part of a broader strategy to methodically approach digital asset regulation.

Bloomberg ETF analyst James Seyffart called the delay “standard procedure,” adding that it likely won’t affect the ultimate outcome. Fellow analyst Eric Balchunas echoed that sentiment, noting that similar extensions occurred before the approval of Bitcoin and Ether ETFs.

“These delays are part of the process. Final deadlines for most of these filings don’t arrive until the fall,” Seyffart explained.

The final decision for XRP ETFs is expected around mid-October, the maximum 240-day review period allowed under SEC rules.

For Ripple Labs and its executives—including CEO Brad Garlinghouse—the SEC’s slow decision-making continues to pose a challenge. While Ripple focuses on expanding its ecosystem through partnerships and cross-border payment solutions (including collaborations like Ripple Bank of America), the lingering uncertainty around U.S. regulatory policy remains a bottleneck.

Brazil has approved the world’s first spot XRP ETF by Hashdex, achieving what U.S. regulators have delayed. Source: Stellar Expert via X

The ETF delay adds another layer to the already complex Ripple XRP news landscape, which includes ongoing discussions about the Ripple ledger, Ripple currency price, and its role in Ripple exchange operations globally.

As the June 17 deadline approaches, investors and market watchers will be closely monitoring both regulatory developments and XRP price prediction models. While the delay does not imply rejection, it reflects the SEC’s continued caution, even under new leadership.

For now, the Ripple market remains in a holding pattern, with many betting that eventual approval of a spot XRP ETF could unlock a new wave of institutional capital and mark a major turning point in the ongoing XRP SEC lawsuit saga.