XRP (CRYPTO: XRP) emerged as one of the biggest large-cap gainers Thursday following the SEC's acknowledgment of its exchange-traded fund application by Grayscale Investments. 

What happened: The third-largest cryptocurrency by market capitalization was up over 4% in the last 24 hours, while blue-chip currencies like Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) fell 0.33% and 1.18%, respectively.

The outperformance came after the SEC solicited comments on the ETF application by Grayscale and asked for those to be submitted 21 days after publication in the Federal Register.

Notably, the SEC recognized the XRP as a "decentralized network of computers" with no single entity owning the network. It also described it as being similar to Bitcoin. 

Should the SEC grant approval, the Grayscale XRP Trust, which currently holds approximately $12.8 million in assets, would transition into an ETF.

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Apart from Grayscale, ETF applications from CoinShares, Bitwise, and Canary Capital have landed on the SEC's desk.

As of this writing, the odds that an XRP ETF will get approved in 2025 are at 82% on the cryptocurrency-based prediction platform, Polymarket.

XRP’s sentiment has also been bolstered by expectations of broader acceptance in Japan’s financial services sector. Japanese financial conglomerate SBI Group offered shareholders the option to receive XRP through its rewards program.

Price Action: At the time of writing, XRP was exchanging hands at $2.58, up 4.20% in the last 24 hours, according to data from Benzinga Pro. Year-to-date, the coin was up 11.45%.

Image via Shutterstock

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