U.S. SEC Approves ProShares XRP Futures ETFs; XRP Price Sees Volatility

In a landmark development for the crypto markets, the U.S. Securities and Exchange Commission (SEC) has approved ProShares Trust to launch several XRP-related futures exchange-traded funds (ETFs). However, the SEC has not greenlighted any spot XRP ETFs. The newly approved futures products are set to become effective starting April 30, 2025.

The approved offerings include the ProShares UltraShort XRP ETF, the ProShares Ultra XRP ETF, and the ProShares Short XRP ETF. These ETFs are designed to provide investors with leveraged and inverse exposure to XRP’s futures prices, allowing for sophisticated trading strategies that aim to capitalize on both rising and falling markets. Specifically, the “Ultra” products offer leveraged exposure, while the “Short” products provide inverse exposure for those seeking to profit from declines in XRP futures prices.

The market reacted swiftly to the news, with XRP’s price surging over 4% shortly after the announcement — jumping from $2.18 to a high of $2.27. However, the initial rally proved short-lived. At the time of writing, XRP is trading at $2.234, with a market capitalization of $130.7 billion.

Over the last 24 hours, XRP’s price has fluctuated between a high of $2.25 and a low of $2.16, reflecting heightened volatility as traders digested the SEC’s decision. Despite the recent excitement, XRP is still down approximately 41.85% from its all-time high of $3.84, a record it set more than seven years ago on January 4, 2018.

The SEC’s move to allow XRP futures ETFs, while holding back spot ETFs, mirrors a cautious regulatory approach already seen with Bitcoin and Ethereum in past years. It signals a significant — though partial — step forward in the broader acceptance of XRP within the traditional financial system.

Investors and market watchers now eagerly await further developments, as the launch of these products could lead to increased institutional participation and deeper liquidity in the XRP market.