The Securities and Exchange Commission received a proposed rule change from the Cboe BZX Exchange, Inc. to list and trade shares of the 21Shares Core XRP Trust. This trust focuses on XRP, a digital asset intended for fast and low-cost transactions, different from other cryptocurrencies like Bitcoin and Ethereum. The proposal argues that XRP is less prone to price manipulation and offers ample protection for investors by securing assets in segregated accounts. The SEC is seeking public comments on this proposal to assess its compliance with regulatory standards, evaluating if it prevents fraud and protects investors before a final decision.
Simple Explanation
The Cboe BZX Exchange wants permission from the Securities and Exchange Commission (SEC) to let people buy and sell shares in a special trust that holds XRP, which is a type of digital money used to make quick and cheap payments. The SEC is checking if this is safe and fair for investors and asking for people's opinions before making a decision.