- 21Shares launches Bitcoin, Solana, and XRP ETPs in Europe, offering new investment opportunities amid regulatory uncertainty.
- IMF’s classification of XRP as a utility token sparks debate, impacting Ripple’s legal battle and global crypto regulations.
The crypto market continues to adapt as 21Shares expands its exchange-traded products (ETPs) to include Bitcoin, Solana, and XRP in Europe. This move signals a step in the growth of digital asset investment products, allowing European investors to gain exposure to leading digital currencies through regulated ETPs.
Swedish investors 🇸🇪, our AXRP, CBTC, and ASOL ETPs are now available in Swedish Kronor on the Nasdaq Stockholm (OMX)!
This new listing provides greater ease, flexibility, and local currency exposure to digital assets like Bitcoin, Solana, and XRP.
AXRP: https://t.co/9KBFSN40dm… pic.twitter.com/zMInTmel7i
— 21Shares (@21Shares) March 24, 2025
21Shares, a leading player in the crypto ETP space, has introduced new products for Bitcoin (BTC), Solana (SOL), and XRP. These new offerings aim to allow investors to diversify their portfolios by including these major cryptocurrencies, which have seen attention due to their technological advancements and market relevance.
The addition of XRP, in particular, comes amid ongoing debates regarding the classification of cryptocurrency. The International Monetary Fund (IMF) recently included cryptocurrencies in its updated Balance of Payments and International Investment Manual (BPM7). The update has caused a stir, especially regarding XRP’s potential classification as a security under the IMF’s framework for utility tokens.
IMF’s Classification of XRP Sparks Controversy
The IMF’s new guidelines on crypto assets have reignited discussions about the status of XRP. According to the IMF’s latest classification, utility tokens like XRP are considered “debt securities,” as they are seen as offering holders future access to goods or services. This classification raises concerns about whether XRP could be considered a security under this framework.
Ripple’s Chief Technology Officer, David Schwartz, responded to these concerns, arguing that XRP does not meet the IMF’s definition of security. Schwartz pointed out that Bitcoin and Ethereum offer similar functionalities in terms of transaction fee payments and would also fall under the same category of “debt securities” if the IMF’s framework is applied strictly.
If XRP is a utility token because you can use it to pay future transaction fees, then so are BTC and ETH.
— David "JoelKatz" Schwartz (@JoelKatz) March 23, 2025
He stressed that no major cryptocurrency fits the IMF’s definition of a utility token as it is outlined for debt securities.
XRP and Legal Challenges Amid Regulatory Scrutiny
This new classification, as noted by ETHNews, comes at a delicate time for Ripple, which is continuing its legal battle with the U.S. Securities and Exchange Commission (SEC) over the status of XRP. The SEC charged Ripple in 2020 for allegedly violating securities laws by selling XRP.
Still, in 2023, U.S. District Judge Analisa Torres ruled that Ripple’s programmatic sales of XRP did not constitute securities offerings. However, the court did find fault with Ripple’s direct sales to institutional investors, leaving the legal fight unresolved.
The ongoing legal challenges have made the classification of XRP even more relevant for the crypto market. As Ripple seeks clarity on the status of its token, the IMF’s stance on utility tokens could have far-reaching implications for how regulators approach digital assets globally.
While the new Bitcoin, Solana, and XRP offerings provide investors with new opportunities, the shifting regulatory outlook, particularly the IMF’s classification of cryptocurrencies, adds an additional layer of complexity to the market.
With the legal status of XRP still uncertain and broader regulatory discussions continuing, the outcome of these debates could shape the future of digital asset investment products in Europe and beyond.