The Securities and Exchange Commission (SEC) has announced that the Cboe BZX Exchange, Inc. has proposed a rule change to list and trade shares of the Bitwise XRP ETF under its Commodity-Based Trust Shares rules. The ETF aims to track the performance of XRP, a digital asset used for fast and low-cost cross-border payments. The proposal is designed to prevent fraud and manipulation while protecting investors, mirroring previous approvals for similar ETFs based on Bitcoin and Ethereum. The SEC is currently seeking public comments on this proposal before deciding on its approval.
Simple Explanation
The SEC is looking at a new plan where a company wants to make a special trading fund that works like a basket to hold a digital money called XRP. This plan is meant to let people trade XRP in a safer and more controlled way, and they want to make sure no one cheats or lies.