A leading ETF analyst, Nate Geraci, has predicted that both BlackRock and Fidelity will soon join the XRP exchange-traded fund (ETF) race. According to Geraci, the approval of such an ETF is “only a matter of time,” especially following Ripple’s recent victory in its long-standing legal battle with the U.S. Securities and Exchange Commission (SEC).

The Ripple-SEC saga, which has caused major uncertainty in the cryptocurrency market, now appears to be nearing its resolution. This shift is seen as a key factor that could pave the way for the creation of XRP-based financial products, like ETFs, that would allow investors to gain exposure to XRP without holding the token directly.

Ripple’s Legal Victory

One of the most important drivers behind this prediction is Ripple’s legal victory over the SEC. The SEC had claimed that Ripple violated U.S. securities laws by issuing XRP as an unregistered security. However, Ripple’s top lawyer, Stuart Alderoty, recently confirmed that the company had managed to significantly reduce the fine originally imposed by the SEC. The fine, initially set at $125 million, was reduced to just $50 million after Ripple successfully negotiated with the SEC. This reduction came after the SEC had initially sought a much larger fine of $2 billion.

Additionally, the injunction that was placed on Ripple as part of the legal proceedings is expected to be lifted, following a request by the SEC. With these major legal hurdles being cleared, Ripple’s regulatory standing has improved, and this could pave the way for the development of various XRP-related investment products, including ETFs.

ETF Potential for XRP

Geraci’s forecast that major players like BlackRock and Fidelity will participate in the XRP ETF race comes at a time when both firms have already shown a strong interest in the cryptocurrency market. BlackRock, the world’s largest asset management firm, has made substantial investments in crypto and blockchain, including products like Bitcoin ETFs. Similarly, Fidelity, a giant in financial services, has been increasing its involvement in cryptocurrency, offering services such as digital asset custodial services.

Both firms are looking to expand their cryptocurrency offerings, and an XRP ETF would be a logical step for them to diversify their investment portfolios. As both companies continue to strengthen their presence in the crypto space, the introduction of an XRP ETF could provide them with a significant competitive advantage, as it would allow them to tap into the growing demand for crypto-based investment products.

The Future of XRP ETFs

As cryptocurrencies continue to gain traction in the global financial system, the approval of an XRP ETF seems increasingly likely. ETFs are popular among institutional and retail investors because they provide a liquid, transparent, and regulated way to invest in digital assets. The potential for a well-structured XRP ETF to offer easy access to the token could drive broader adoption and pave the way for further growth in the crypto market.

The involvement of firms like BlackRock and Fidelity in the XRP ETF race is expected to accelerate the momentum for digital asset products. Their participation could lead to the development of similar offerings for other cryptocurrencies, further institutionalizing the crypto space and attracting more traditional investors.

Conclusion

The prediction that BlackRock and Fidelity will soon enter the XRP ETF race highlights growing optimism about the future of cryptocurrency investments. Ripple’s recent legal success has removed a significant barrier to the approval of XRP-based financial products, and an XRP ETF could soon become a reality. As more institutional players enter the space, XRP could play a significant role in the mainstream adoption of digital assets.