US SEC, XRP Officially Recognized...What is the '85% Rule' that Shook the ETF Market?

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The U.S. Securities and Exchange Commission (SEC) has initiated the introduction of new regulations to specify listing standards for cryptocurrency ETFs. Simultaneously, major virtual assets, including XRP, have reached a turning point, strengthening their status as eligible assets within institutional finance.

According to cryptocurrency specialized media 24/7 Wall Street on April 29 (local time), the SEC has commenced a public comment solicitation process regarding the so-called '85% rule' proposed by NYSE Arca. This rule requires that 85% or more of the assets in a commodity-based trust consist of eligible assets, including Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and XRP. This suggests that XRP, which has been under regulatory uncertainty, has now been officially recognized as an eligible asset within the institutional framework.

The impact of this regulatory change is expected to be limited for the five XRP spot ETFs currently traded in the U.S. Products managed by Bitwise, Canary Capital, Franklin Templeton, 21Shares, and Grayscale hold only XRP without derivatives, thus sufficiently meeting the 85% standard. Since their initial launch in November 2025, these funds have recorded a total net asset value of $1.05 billion and cumulative inflows of $1.29 billion.

Conversely, the impact of the regulation is expected to be concentrated on leveraged products with a high proportion of derivatives. GraniteShares' 3x long and short XRP ETFs have seen their launch delayed five times since April 2, with the next schedule set for May 7. The new rule reflects both options and futures positions based on notional value, making it difficult to maintain high-leverage structures. The SEC has already curbed the proliferation of high-risk products through a policy limiting leverage to 200% in December 2025.

This regulation is expected to serve as an opportunity for multi-asset trusts holding multiple assets. Products that simultaneously incorporate Bitcoin, Ethereum, XRP, Solana, etc., can be listed according to standardized criteria without individual asset-specific approval processes, potentially accelerating market entry. As the regulatory standardization emphasized by SEC Commissioner Paul Atkins materializes, the overall efficiency of the listing process is also expected to increase.

The price of XRP fell 5% to $1.36 after the regulatory news, but the market largely interprets this as a short-term reaction. The fact that XRP has been explicitly recognized as an eligible asset is evaluated as a factor that can strengthen its institutional foundation in the mid-to-long term. Investors are closely watching May 7, when the launch of GraniteShares' products will be decided, and May 19, the end of Nasdaq's public comment period for similar rules, as key variables.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*