According to CryptoPotato, Ripple Labs CEO Brad Garlinghouse has expressed support for a spot exchange-traded fund (ETF) for the company's native token, XRP. In a Bloomberg interview, Garlinghouse discussed the current state of the crypto industry and the inevitability of multiple ETFs for different tokens to diversify the risk of trading such investment vehicles. He also mentioned the possibility of firms launching basket ETFs containing multiple crypto assets.
Garlinghouse compared the current state of the crypto ETF space to the early days of the stock market, explaining that investors would prefer to diversify their risks and portfolios rather than having exposure to just one stock or company. He acknowledged that the launch of other funds to diversify the risk from spot Bitcoin ETFs is inevitable, but the timing is difficult to predict.
When asked about discussions with asset manager BlackRock regarding the launch of a spot XRP ETF, Garlinghouse declined to comment. He did, however, mention that Ripple is an important stakeholder in the XRP ecosystem but not the only player. The possibility of a spot XRP ETF has been surrounded by dramatic events, including a fake filing for the fund in Delaware. Some analysts believe that an XRP ETF is unlikely to be approved soon, as Ripple is still involved in a lawsuit with the US Securities and Exchange Commission.
