© Reuters.
NEW YORK – BlackRock Inc (NYSE:), the world’s largest asset manager, has decided to halt plans to launch an exchange-traded fund (ETF) based on the XRP cryptocurrency. The move comes amid continued regulatory uncertainties and a lack of clarity regarding the legal status of XRP.
The move marks a significant shift for BlackRock, which had previously expressed interest in the digital currency space, with CEO Larry Fink making remarks that hinted at the company’s commitment to XRP. However, a July ruling that caused confusion over the legal status of XRP contributed to the company’s decision to forgo the launch of a spot XRP ETF.
In the broader context of the cryptocurrency market, XRP has seen a decline in value, reflecting bearish sentiment among investors. The cryptocurrency’s price has fallen to around $0.50, a drop attributed to market participants bracing for possible appeals from the Securities and Exchange Commission (SEC), which could further complicate the regulatory landscape for digital assets such as XRP.
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