Bloomberg ETF analyst Eric Balchunas doubts the SEC will deny ETFs after XRP’s price spiked on a faked BlackRock XRP trust filing, but it is a “bad look.”
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 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 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 the incident could validate the SEC’s beliefs.
Lucas Kiely, the CEO of wealth management platform Yield App, said the faked XRP filing wouldn’t sway the SEC and stressed the crypto community should “calm down.”
“It is highly unlikely that this incident will play any role in that decision,” Kiely sa.
He iterated that many X (formerly Twitter) pundits have posted fear-mongering headlines to capture audience attention and “spoof the markets.”
LATEST ON FAKE XRP ETF FILING: "Our only comment is that this matter has been referred to the Delaware Department of Justice," the spokesperson (for Delaware Dept of State) said. Damn. Someone out there is crapping their pants as we speak.. https://t.co/Xea226Q1vT
— Eric Balchunas (@EricBalchunas) November 14, 2023
BlackRock filed for a spot Ether ETF on Nov. 9. It is now awaiting regulator approval in addition to its spot Bitcoin ETF filed in June.
