SEC Commissioner Caroline Crenshaw has continued opposition to crypto exchange-traded merchandise. This could have induced a dip in market sentiment, with XRP ETF approval odds dropping to 65% from earlier highs above 80-90%.
SEC Commissioner Retains Stance Against Crypto ETFs
As of at this time, the U.S. Securities and Exchange Commission (SEC) has held 13 internal votes, all about varied crypto exchange-traded merchandise (ETPs). These votes included updates on IBIT, BITB, GBTC, Bitwise’s BTC and ETH funds, and in-kind redemption protocols. All votes handed with a 3-1 final result, SEC Commissioner Caroline Crenshaw being the only real dissenting voice.
Crenshaw, the one Democrat at the moment on the Commission, has persistently pushed again towards the rising wave of crypto ETF approvals. According to journalist Eleanor Terrett, her agency stance is sending “a clear message” that she stays staunchly towards crypto ETPs, together with any transfer towards an XRP ETF.
The SEC recently approved in-kind creations and redemptions for each Bitcoin and Ethereum ETFs. This places them on par with commodity-based ETPs like these backed by gold. While this replace is seen as a win for crypto ETF infrastructure, Crenshaw’s resistance stands in stark distinction. Her objections counsel she could act as a constant roadblock in future crypto-related votes, together with proposed XRP ETFs.
Crenshaw’s disapproval extends past ETFs. She recently criticized SEC employees steering on liquid staking, calling it legally fragile and missing real-world grounding. According to her, the advisory “stacks factual assumptions” and fails to offer clear steering to trade members.
Furthermore, she additionally voiced sturdy opposition to latest employees steering on USD-pegged stablecoins. Labeling the assertion as “legally and factually flawed,” Crenshaw warned that it misrepresents the precise dangers of stablecoins by echoing advertising and marketing phrases like “digital dollar,” which, in her view, dangerously mislead traders.
Such feedback solely deepen issues that Crenshaw’s presence may complicate regulatory progress round Ripple and the XRP ETF, particularly if her affect grows or positive factors help throughout the Commission.
XRP ETF Sentiment Swings on Polymarket
The odds for XRP ETF approval have fluctuated as a result of waning market confidence. Polymarket data exhibits a drop to 65% earlier than bouncing again to 71%, down from highs above 90%.
CoinGape beforehand reported that after the ProfessionalShares Ultra XRP ETF (UXRP) launched efficiently on NYSE Arca on July 18, the chances of the XRP ETF being approved increased to 86%. But throughout the latest spherical of SEC votes, Crenshaw voted towards the latest NYSE Arca filings.
Bloomberg analyst Eric Balchunas stays optimistic regardless of this. He stated that the SEC may approve altcoin ETPs, including XRP ETFs. The motive for this optimism is that XRP now meets the brand new SEC itemizing necessities, which goal tokens which have traded derivatives for at the very least six months.
Furthermore, there are rumors {that a} BlackRock XRP ETF can also be within the works, particularly since BlackRock’s Director of Digital Assets, Maxwell Stein, is predicted to talk at Ripple’s Swell 2025 convention.
Even although the muse for crypto ETFs is getting stronger, Crenshaw’s persistent resistance may nonetheless be an issue. The coming months may decide how a lot the SEC commissioner may affect approval choices.
Michael Adeleke
Michael Adeleke is a passionate crypto journalist identified for breaking down advanced blockchain ideas and market developments into clear, participating narratives. He focuses on delivering well timed information and sharp market evaluation that retains crypto lovers knowledgeable and forward of the curve. With an engineering background and a level from the University of Ibadan, Michael brings analytical depth and precision to each piece he writes.
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