Brazil is about to become the first country to launch a spot XRP exchange-traded fund (ETF)! Hashdex, a Brazilian investment firm, got the green light from the country’s securities regulator, the CVM. Their Hashdex Nasdaq XRP Index Fund is now in its pre-launch phase, and it’s expected to be listed on the B3 exchange soon.
A Big Deal for XRP and Brazil
This is huge news for both Brazil’s crypto market and the global XRP community. Unlike futures-based ETFs, a spot XRP ETF invests directly in XRP, giving investors simple and direct exposure to the cryptocurrency. This could attract a lot more institutional and individual investors, making XRP more credible and liquid.
Global Ripple Effects
Brazil’s move is happening as other countries, especially the US, are also considering similar XRP ETFs. The US SEC has received applications from big players like 21Shares, Bitwise, Grayscale, and CoinShares. While still under review, these applications show a changing attitude towards crypto regulation.
This shift might be linked to the reelection of President Donald Trump, who’s been a vocal supporter of crypto. His administration has promised clearer guidelines for digital assets and created a task force to determine which cryptos aren’t securities. This could smooth the way for projects like XRP. (Note: A tweet claiming Trump ended the “war on Bitcoin” is included in the original article, but the accuracy and relevance of this claim are not verified here).
XRP Price Jumps
Following the Brazilian approval, XRP’s price has seen a nice boost – up about 4.5% in a day, reaching $2.74 at the time of writing. While this is positive, it’s not enough to completely reverse XRP’s recent downturn. Over the past month, XRP is still down around 12.6%, and it’s about 19.7% below its all-time high of $3.40 from 2018.
