NEW YORK - BlackRock Inc (NYSE:BLK), the world's largest asset manager, has decided to halt its plans to launch an exchange-traded fund (ETF) based on the cryptocurrency XRP. The decision comes amid ongoing regulatory uncertainties and a lack of clarity regarding XRP's legal status.

The move is a significant shift for BlackRock, which had previously shown interest in the digital currency space, with CEO Larry Fink making remarks that hinted at the firm's engagement with XRP. However, a July ruling that brought confusion over XRP's legal standing has contributed to the company's decision to step back from launching a spot XRP ETF.

In the broader context of the cryptocurrency market, XRP has been experiencing a downturn in value, reflecting a bearish sentiment among investors. The cryptocurrency's price has dropped to around $0.50, a decline that is being attributed to market participants bracing for potential Securities and Exchange Commission (SEC) appeals, which could further complicate the regulatory landscape for digital assets like XRP.

https://www.investing.com/news/cryptocurrency-news/blackrock-shelves-plans-for-spot-xrp-etf-amid-regulatory-challenges-93CH-3278906