Franklin Templeton XRP ETF Filing Removes SEC Delay Clause

In a significant regulatory maneuver, Franklin Templeton submitted an amended S-1 filing to the SEC on November 4, 2025, for its pending spot XRP exchange-traded fund, the Franklin XRP Trust. The amendment contains one crucial difference from earlier versions: the removal of the standard 8(a) delay clause that typically grants the SEC control over when a filing becomes effective. ETF analyst James Seyffart highlighted this development on X (formerly Twitter), noting the strategic importance of this change for the approval process.

Previously, Franklin Templeton employed the conventional delaying amendment wording in its initial March 11, 2025 submission and subsequent August 22, 2025 amendment. This clause gave the SEC authority to determine the exact timing of effectiveness. The latest filing, however, states that registration “shall hereafter become effective in accordance with the provisions of section 8(a) of the Securities Act of 1933,” meaning the Franklin spot XRP ETF registration automatically becomes effective 20 days after filing unless the SEC intervenes.

The Franklin XRP Trust structure mirrors other recently approved crypto ETFs, with the fund primarily holding XRP as its core asset and tracking the token’s market price. Coinbase Custody will manage digital asset storage while BNY Mellon oversees cash holdings, with the trust seeking listing on the Cboe BZX Exchange. This infrastructure alignment with established crypto ETF models positions the fund for potential rapid deployment upon approval.

Franklin Templeton’s regulatory strategy isn’t occurring in isolation. Other major asset managers, including Bitwise and Canary Funds, have made similar modifications to their S-1 filings for XRP ETFs in recent weeks, collectively reducing the delay wording that traditionally allows the SEC to set launch timelines. This coordinated movement demonstrates how ETF issuers are systematically reclaiming control over approval timing through regulatory procedure.

Journalist Eleanor Terrett highlighted this emerging pattern on X, noting that the trend has gained momentum since the US government shutdown in October 2025. During that period, the SEC’s review process slowed significantly, prompting asset managers to leverage timing rules to expedite their filings. The strategic shift represents a pragmatic response to regulatory delays and demonstrates the industry’s growing sophistication in navigating SEC procedures.

The issuing companies appear to be employing the same “fast-track” rule that facilitated the launch of other spot crypto ETFs last month, including those for Solana (SOL), Litecoin (LTC), and Hedera (HBAR). By adopting this proven accelerated pathway, XRP ETF issuers are positioning their funds for potential approval before the end of November, creating a compressed timeline that contrasts sharply with traditional ETF approval processes.

The collective move by Franklin Templeton, Bitwise, and Canary Funds to shorten delay provisions signals a fundamental shift in how asset managers approach crypto ETF approvals. By leveraging Section 8(a) of the Securities Act of 1933, these firms are testing the boundaries of regulatory autonomy while demonstrating confidence in their compliance frameworks. While the SEC retains intervention authority, the procedural change forces more immediate regulatory engagement.

This accelerated approval pathway could establish a new precedent for digital asset ETFs beyond XRP, potentially influencing how future cryptocurrency funds navigate the regulatory landscape. The success of recently launched Solana, Litecoin, and Hedera ETFs using similar strategies provides a compelling blueprint that XRP ETF issuers are now following, suggesting a maturing approach to crypto regulation among traditional finance institutions.

The timing of these filings, coming after the government shutdown and building on recent crypto ETF successes, indicates that asset managers are strategically capitalizing on regulatory momentum. If successful, this approach could reshape the crypto ETF approval process, giving issuers more predictable timelines while maintaining necessary regulatory oversight. The coming weeks will reveal whether this bold strategy pays off for Franklin Templeton and other XRP ETF applicants.