According to CoinDesk, Blackrock has denied attempting to launch an XRP exchange-traded fund (ETF), stating that a regulatory filing suggesting such a move is fake. The news of the alleged filing circulated on social media, causing XRP's price to jump more than 10% at one point before sinking back to its pre-news intraday price of around 65 cents. Blackrock has previously filed with the U.S. Securities and Exchange Commission (SEC) to launch spot bitcoin and ether ETFs.
This is not the first time Delaware's corporate registration process has been abused, seemingly in an attempt to pump crypto prices. In 2021, a pair of filings suggested Grayscale, an asset manager, would launch trust vehicles for two tokens that Grayscale did not have plans for. Grayscale is a subsidiary of CoinDesk parent company Digital Currency Group. Speculators took hold on Monday afternoon as ETF watchers, including Bloomberg's Eric Balchunas, amplified the phony filing, presenting it as true. Media corporations including Bankless and The Block also recirculated the news, fueling buy pressure on XRP. However, other informed observers expressed doubt that Blackrock, which is not known for taking risks in crypto, would consider creating an ETF product for XRP, which is currently involved in active litigation with the SEC. XRP also lacks a massive regulated futures market in the U.S., unlike bitcoin and ether.
