Canary Funds Advances XRP Spot ETF Toward Potential November Launch

Canary Funds has filed an updated S-1 registration statement for its XRP spot exchange-traded fund (ETF), signaling a bold step toward automatic approval. The amendment removes the “delaying clause” that previously allowed the U.S. Securities and Exchange Commission (SEC) to control the filing’s effective date. With this change, the XRP ETF could automatically become effective under Section 8(a) of the Securities Act of 1933, setting up a potential launch date of November 13, pending Nasdaq’s listing approval.

FOX Business reporter Eleanor Terrett revealed that this strategic update positions Canary’s XRP ETF for an automatic go-live without waiting for explicit SEC clearance. The timing coincides with a partial government shutdown that has slowed regulatory reviews, prompting issuers to explore auto-effective mechanisms. Unless the SEC intervenes with new comments or objections, Canary’s ETF could debut following the 20-day statutory period.

The fund aims to provide institutional exposure to XRP, reflecting its market value minus operational costs and liabilities. According to the revised prospectus, the ETF will trade on Nasdaq and track the CoinDesk XRP CCIXber Reference Rate, which aggregates XRP prices across major trading platforms. Gemini Trust Company and BitGo Trust Company are named as custodians for the underlying XRP holdings, ensuring secure asset management.

Industry analysts have called this a bold but calculated move. Bloomberg’s Eric Balchunas noted that, unlike other issuers such as Solana, Canary pursued minimal back-and-forth with the SEC—a strategy that could accelerate approval but carries uncertainty.

This filing follows growing momentum for XRP-linked institutional products. Evernorth recently listed its XRPN product on Nasdaq after a $1 billion XRP purchase, and other crypto ETFs featuring Bitcoin, Ethereum, Solana, and Hedera have entered the pipeline. If approved, Canary’s XRP ETF would mark a major milestone for XRP’s mainstream financial adoption.