According to Kaiko, Ripple Could Be the First Approval After Bitcoin and Ethereum in the US! - Coin Bulletin

In the US, Bitcoin (BTC) and Ethereum (ETH) are followed closely by the cryptocurrency XRP, which seems to be the closest to receiving the first spot ETF approval.

According to experts from the crypto data and analysis platform Kaiko, XRP has stepped ahead of other altcoins thanks to its high market liquidity and the 2x leveraged ETF product launched by Teucrium last week.

According to the data shared by Kaiko, among active ETF applications, XRP is in the lead with 10 applications. Following XRP, Solana (SOL) has 5 applications, and then Litecoin (LTC) and Dogecoin (DOGE) each have 3 applications. Kaiko analysts note that XRP's average 1% market depth on centralized exchanges is the highest compared to other altcoins. High market depth is considered an important criterion for the approval of ETF applications, as it allows investors to make safer transactions with lower slippage.

By the end of last year, XRP's market depth had increased significantly, surpassing Solana and reaching doubled that of Cardano. The biggest factor in this rise was the victory of Donald Trump in the presidential election and the end of Ripple's long-running litigation process with the SEC in March.

Launched last week, Teucrium's XRP ETF (XXRP)**, with 2x leverage, became XRP's first ETF product in the US. Bloomberg analyst Eric Balchunas commented, "It's quite unusual for a leveraged product to come out before spot XRP approval has arrived."

On the other hand, the critical date for the response that SEC will give to Grayscale's spot XRP ETF application has been set as May 22. Kaiko analysts point out that the risk structure of leveraged ETFs is more complex than that of spot ETFs, and they believe that there is no concrete reason left for SEC to reject the approval of the spot XRP ETF.

In the US, the spot market capitalization of XRP has reached its highest levels for the first time since before the SEC's Ripple lawsuit was filed in 2021, while Solana's share is gradually decreasing. Canada's failure to yet approve a spot ETF for XRP also increases the possibility of the US being a pioneer in this regard.