XRP Spot ETF is expected to take effect automatically on November 13, with Bitwise predicting that billions of dollars may flow in!

The asset management company Canary Capital has submitted an updated S-1 filing for its XRP Spot ETF, with the key change being the removal of the “latency correction” clause, which creates conditions for the ETF to automatically take effect on November 13. This move is expected to trigger strong market activity related to Ripple altcoin. Bitwise Chief Investment Officer Matt Hougan firmly believes that with XRP's strong investor base, the XRP ETF could easily become a billion-dollar fund within months of its launch, far exceeding market expectations.

Automatic Activation Mechanism: Canary Capital Rushes to XRP Spot ETF

Canary Capital is attempting to leverage its recent successful launch of the Solana ETF and HBAR ETF experience to expedite the listing of its XRP product using an automatic activation mechanism.

• Remove “latency correction”: By removing the “latency correction” in the S-1 file, Canary allows its registration to automatically take effect within 20 days after application, provided that Nasdaq approves its accompanying 8-A file.
• Potential Launch Date: This action sets a potential start date of November 13 for the XRP Spot ETF.
• SEC's Open Attitude: SEC Commissioner Paul S. Atkins recently expressed support for companies utilizing the automatic effectiveness route during the government shutdown, which adds a positive signal to Canary's attempts.
• Market Reaction: Bloomberg senior ETF strategist Eric Balchunas commented that despite the lack of back-and-forth exchanges like Solana between the XRP filing and the SEC, this attempt is still worthwhile.

Huge Market Potential: Bitwise Predicts Billions of Dollars Flowing In

Although there is a certain bearish sentiment towards XRP within the crypto community, the forces from institutions and the community indicate that the XRP ETF has enormous market potential.

• Bitwise's Optimistic Prediction: Matt Hougan, Chief Investment Officer of Bitwise, firmly believes that the XRP ETF “could easily become” a fund that reaches billions of dollars in size within a few months after its launch, exceeding the expectations of many market observers.
• The purchasing power of the “XRP Army”: Hougan emphasized that the key to driving capital inflow lies in a group of investors with strong beliefs. He pointed out that the “XRP Army” is very bullish and passionate about XRP, which will be the core driving force for massive capital inflow.
• Pioneers have succeeded: The Rex-Osprey XRP ETF, launched 6 weeks ago (a '40 Act structure based “Spot” ETF), has surpassed $100 million in assets, with analysts predicting this could drive the XRP price up to $10.

Competitive Landscape: XRP ETF Applications Follow Bitcoin and Solana

The number of applications for the XRP Spot ETF is leading among alts, demonstrating the issuer's recognition of its potential market size.

• Application Quantity Ranking: According to data from Eric Balchunas, there are currently about 20 XRP ETF applications pending with the SEC in the United States. This is slightly lower than Bitcoin and Solana (both 23 applications), but ahead of Ethereum (16 applications).
• Market Attention: The number and scale of approved XRP ETF will become an important indicator of the institutionalization process of alts.

Conclusion

Canary Capital removed the “latency correction” **measure, paving a fast track for XRP Spot ETF to automatically take effect on November 13. Although we still need to wait for the approval from Nasdaq, this undoubtedly greatly enhances the market attention and optimism towards XRP. Considering the strong buying willingness of the XRP Army and predictions from institutions like Bitwise for billions of dollars inflow, the launch of XRP ETF will be a milestone event in the history of alts, very likely triggering an explosive surge in XRP prices.