DOGE, XRP Set For Massive Rocket as SEC Accepts Grayscale’s, 21Shares Spot ETF Filings

Dogecoin (DOGE) and XRP saw a sharp price increase of over 10% on Friday after the U.S. Securities and Exchange Commission (SEC) acknowledged spot Exchange-Traded Fund (ETF) filings from Grayscale Investments and 21Shares.

Notably, on Thursday, the SEC officially published a regulatory notice seeking public comments on the proposed rule changes required to list Grayscale’s XRP and Dogecoin Trusts under NYSE Arca Rule 8.201-E. This acknowledgment marks the beginning of the formal review process, which spans up to 240 days, during which the SEC must approve or reject the applications.

Grayscale’s strategy for the Dogecoin ETF involves structuring it so that authorized participants handle cash transactions rather than directly holding DOGE, addressing potential regulatory concerns. Coinbase Custody has been designated as the custodian, while BNY Mellon will oversee administrative functions.

Meanwhile, the SEC also recognized the XRP ETF application submitted by asset manager 21Shares on Friday. However, it is important to note that while these acknowledgments do not equate to approval, they represent a significant first step in the regulatory process.

“To be sure, there’s still a whole process to go through with all of these new crypto ETF filings (LTC, DOGE, SOL, XRP, etc.), but this is a good first step as it means there’s at least a chance these products could launch in the future,” tweeted Eleanor Terrett, a crypto-journalist at Fox Business.

Meanwhile, the news has sparked optimism among investors, with Polymarket data showing that the odds of DOGE and XRP ETFs being approved have risen to 75% and 78%, respectively.

Elsewhere, Bloomberg ETF analyst James Seyffart estimated XRP has a 65% chance of securing ETF approval, while DOGE’s odds stand slightly higher at 75%.

On the other hand, Bloomberg’s Eric Balchunas also weighed in on the SEC’s decision, stating, “DOGE ETF filing has been acknowledged by the SEC. This is part of the normal process, but it’s a good sign considering these altcoins were previously told to withdraw right after filing.” He added that this acknowledgment slightly improves the likelihood of approval.

That said, the SEC’s shift in stance follows the departure of former Chair Gary Gensler, known for his skepticism toward crypto assets. Historically, the agency has hesitated to approve ETFs beyond Bitcoin and Ethereum. Under Gensler’s leadership, the SEC rejected at least 20 spot Bitcoin ETF applications before finally approving them in January. The agency has also delayed decisions on products like ETH and SOL ETFs, pushing some final deadlines into May 2025.

As the SEC’s review process unfolds, investor optimism surrounding DOGE and XRP ETFs continues to build, potentially driving further gains for both assets.