XRP spike on hoax filing a ‘bad look’ but won’t sway SEC’s ETF approvals
The Nov. 13 XRP (XRP) price action stemming from a falsified BlackRock XRP trust filing shouldn’t sway the United States securities regulator’s decision to approve or delay spot Bitcoin (BTC) exchange-traded funds (ETFs) — but it isn’t a good look, say industry observers.
The U.S. Securities and Exchange Commission has previously claimed the Bitcoin market can be manipulated and has knocked back spot Bitcoin ETFs, citing a lack of market manipulation controls.
Bloomberg ETF analyst Eric Balchunas told Cointelegraph that the fake XRP filing should have little to no impact on the SEC’s final decision.
“We doubt this will impact the situation with spot Bitcoin ETFs,” Balchunas said. However, he added that the incident could validate the SEC’s beliefs.
The Nov. 13 filing on the Delaware list of corporations website showed BlackRock creating the “iShares XRP Trust,” a precursor to launching an ETF.
The filing resulted in XRP spiking 12.3% in 30 minutes before it tumbled back down just as quickly once the filing was outed as a hoax by Balchunas and others who received BlackRock’s confirmation that the filing was made by someone posing as its managing director, Daniel Schwieger.
Michael Bacina, a partner at the law firm Piper Alderman and chair of the industry group Blockchain Australia, told Cointelegraph he would be “surprised” if the SEC used the incident to postpone ETF applications.
“It’s unlikely an isolated rumor such as this would provide a legal basis for delaying ETF applications already being considered, particularly where they are already subject to deadlines,” he said.
The amount of lying, rumormongering and brazen attempts at market manipulation wrt to #Bitcoin, $XRP, $ETH, $SOL and more as if pertains to ETF news is
Read more on cointelegraph.com
