TLDR
- XRP ETF approvals now expected between late November and December 2025.
- SEC paused ETF reviews due to the U.S. government shutdown in October.
- New SEC rules remove 19b-4, streamlining future crypto ETF approvals.
- Polymarket shows 99 percent chance of XRP ETF approval by end of 2025.
A government shutdown in the United States has disrupted timelines for several crypto-related exchange-traded funds. XRP ETF applications, once scheduled for decision in October, are now pushed further down the line. While interest remains high among asset managers and investors, a stalled Securities and Exchange Commission (SEC) review process is now expected to delay final decisions until the end of 2025.
Shutdown Stalls SEC Approval Process
The U.S. government shutdown has paused all regulatory actions at the Securities and Exchange Commission. As a result, multiple XRP ETF proposals have been delayed, with new review timelines now estimated between late November and December 2025.
Several firms, including Grayscale, 21Shares, WisdomTree, Bitwise, and CoinShares, had their XRP ETF filings lined up for SEC decision between October 18 and October 25. But once the government shut down, the SEC halted all related activity, freezing progress across the board.
A crypto analyst familiar with the matter stated, “Even after the government resumes, it might take another four weeks to get to it.” The delay is not only due to paused operations, but also the growing backlog the agency must now manage.
Revised ETF Framework Could Speed Up Process
While the delay is clear, some structural changes inside the SEC may still help in the long term. The SEC has removed the 19b-4 requirement, which was a key step in the older ETF approval system. The new approach allows funds to list under a simplified process focused mainly on the S-1 filing.
By reducing the number of regulatory hurdles, the new framework could make ETF approvals quicker in the future. However, the current backlog caused by the shutdown has stalled any immediate benefits.
Experts believe that once the SEC reopens and clears the pending files, the new system could allow for faster reviews. Yet, no official timeline has been provided by the SEC.
Market Confidence Remains High Despite Delays
Despite the stalled approvals, market sentiment around XRP ETFs has remained strong. According to Polymarket data, the likelihood of an XRP ETF being approved by the end of 2025 has climbed to 99%.
This increase in confidence comes even as major firms wait longer for SEC responses. Analysts attribute this optimism to the updated SEC rules and strong investor demand for digital asset exposure in traditional finance products.
Nate Geraci, President of The ETF Store, noted the delay was expected. Bloomberg ETF analyst Eric Balchunas compared the hold-up to a “rain delay” — calling it a pause, not a cancellation.
Other Crypto ETFs Also Face Delays
The XRP ETF delay is part of a broader pause affecting other cryptocurrency funds. ETF proposals for Solana, Litecoin, and Cardano have also been pushed back due to the shutdown.
Grayscale, Canary Capital, CoinShares, VanEck, and 21Shares all have pending ETF applications for these digital assets. These proposals are now on hold as the SEC sorts through a growing list of delayed filings.
With multiple applications pending across several tokens, the entire crypto ETF sector is experiencing slower movement than previously expected.
As of now, no updated dates have been released by the SEC for any of the pending ETF reviews. Market watchers expect progress to resume roughly four weeks after the government resumes full operations.
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