Canary Funds filed Form 8-A with the SEC to launch the XRP Trust, which could become the first spot XRP ETF in the US.
The fund is fully backed by real XRP tokens and is preparing to list on Nasdaq on November 13.
Canary Funds' XRP Trust could become the first exchange-traded fund (ETF) in the US backed by the real value of XRP—$2.5105 per unit. The company filed Form 8-A with the Securities and Exchange Commission (SEC) on Tuesday, marking a major step toward launching trading.
According to Bloomberg ETF analyst Eric Balchunas, the filing means the fund is ready to list. This is the final procedural step before trading begins. A successful ETF launch could increase XRP liquidity and attract investors, including registered financial advisors who have previously avoided cryptocurrency.
After approval for the Nasdaq listing, the fund will officially begin trading. This will be the final step before trading opens on November 13. The ETF will be regulated under the Securities Act of 1933, allowing for direct trading in XRP rather than through futures or hybrid instruments.
The approval of this fund will be a significant event for the Ripple ecosystem and the entire crypto market. It comes almost two years after the launch of the first spot Bitcoin ETF in January 2024.
Canary's ETF is fully backed by actual XRP tokens at a 1:1 ratio, held in a regulated trust. This distinguishes it from the recently launched REX-Osprey XRP ETF, which operates under the Investment Company Act of 1940. The latter uses a mixed asset structure and provides only partial exposure to XRP, leading to higher costs and less favorable tax treatment.