Litecoin ETF expected to get approval before XRP

A Bloomberg analyst has indicated that a Litecoin (CRYPOT:LTC) exchange-traded fund (ETF) is likely to receive regulatory approval ahead of a similar product for Ripple’s XRP (CRYPTO:XRP).

On February 1, asset manager Grayscale submitted a filing to the U.S. Securities and Exchange Commission (SEC) to convert its $16.1 million XRP trust into an ETF.

Several companies are pursuing new crypto ETFs, including those for Litecoin, Solana (CRYPTO:SOL), and Dogecoin (CRYPTO:DOGE), as the U.S. moves into a more pro-crypto regulatory environment under the Trump administration.

Ripple president Monica Long previously suggested that XRP would be the next cryptocurrency ETF approved after Bitcoin (CRYPTO:BTC) and Ethereum (CRYPTO:ETH).

However, Bloomberg analyst James Seyffart expressed skepticism regarding XRP's prospects due to ongoing SEC claims that it is a security, which poses significant hurdles for ETF approval.

“There’s some more work that needs to be done on that front that doesn’t need to happen with something like Litecoin. The SEC has never called Litecoin a security so, I wouldn’t be surprised if you see Litecoin come first,” Seyffart stated.  

While Seyffart does not foresee immediate approval for XRP ETFs, he believes it remains possible for this year.

The SEC has initiated a public comment period regarding the Canary Capital Litecoin ETF application, marking a significant step in the approval process.

At the time of reporting, the Litecoin (LTC) price was $95.30 and the XRP (XRP) price was $2.33.