XRP ETF Withdrawn by Top Issuer: Key Reason
Analysis
Price Impact
LowWisdomtree's withdrawal of its xrp etf application is primarily due to market saturation and being late to the party, as other xrp etfs have already launched and captured significant market share. this is a competitive business decision, not a rejection of xrp's underlying value or regulatory status.
Trustworthiness
HighThe news is reported by u.today, a reputable crypto news outlet, citing an official withdrawal by wisdomtree, a recognized etf issuer. the reason provided (market saturation) is a plausible business strategy.
Price Direction
NeutralWhile any etf withdrawal can cause minor fud, the explanation points to market competition rather than issues with xrp itself. with existing successful xrp etfs, this event is unlikely to significantly alter xrp's price trajectory in the long run. short-term, a slight dip might occur from uninformed selling.
Time Effect
ShortAny immediate market reaction will likely be short-lived as the fundamental outlook for xrp and its presence in the etf market (via other issuers) remains unchanged. the long-term impact is negligible.
Original Article:
Article Content:
Cover image via U.Today Read U.TODAY on Google News Exchange-traded fund (ETF) issuer WisdomTree has officially withdrawn its XRP application. Advertisement WisdomTree initially filed an S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) back in December. Market saturation The issuer’s decision to pull the plug on its XRP ETF has puzzled the community, with many of its members even alleging that the filing is fake (even though it is definitely real). Even though the issuer has not specified the exact reason behind the withdrawal, it likely decided to nip this product in the bud due to being too late to the party. You Might Also Like Wed, 01/07/2026 - 09:54 'More Treasuries Exploring XRP': Ripple Executive Reacts to ETF Milestone By Godfrey Benjamin Advertisement It is worth noting that competitors like Bitwise, Canary Capital, and 21Shares launched products that have already captured significant market share. The first batch of XRP ETFs has already attracted approximately $1.37 billion in cumulative inflows as of early January 2026. WindomTree was successful with its Bitcoin and Ethereum products, its XRP bid became a casualty of timing in a "winner-takes-most" market. Advertisement Hence, the withdrawal can be viewed as a concession to market saturation. #XRP News #ETF