What is an XRP ETF?An XRP ETF is an exchange-traded fund designed to track the price of XRP, the native cryptocurrency of the XRP Ledger, developed by Ripple. It allows investors to gain exposure to XRP’s price movements without directly buying, storing, or managing the cryptocurrency. XRP ETFs trade on traditional stock exchanges, offering a regulated and accessible investment vehicle for both retail and institutional investors. They typically hold XRP directly (spot ETFs) or use derivatives like futures contracts (futures ETFs) to mirror XRP’s performance.Current Status of XRP ETFs (as of April 27, 2025)United States:Spot XRP ETFs: No spot XRP ETF has been approved in the U.S. as of April 27, 2025, but the race is heating up. At least nine asset managers, including Bitwise, Canary Capital, 21Shares, WisdomTree, CoinShares, Grayscale, ProShares, Volatility Shares, and Franklin Templeton, have filed applications with the U.S. Securities and Exchange Commission (SEC) for spot XRP ETFs since October 2024. The SEC is reviewing these, with decision timelines potentially extending up to 240 days from filing dates (e.g., Bitwise’s filing in October 2024 could see a decision by mid-2025).Futures XRP ETFs: The Teucrium 2x Long Daily XRP ETF (ticker: XXRP) launched on April 9, 2025, marking the first U.S.-based XRP ETF. It offers 2x leveraged exposure to XRP’s daily price performance via swaps and recorded a strong debut with $5 million in trading volume, placing it in the top 5% of new ETF launches. ProShares has also filed for three XRP futures ETFs (UltraShort, Ultra, and Short XRP ETFs), targeting a launch by April 30, 2025.Regulatory Landscape: The SEC’s stance on XRP ETFs hinges on Ripple’s legal battle, which saw a partial victory in July 2023 when a judge ruled XRP is not a security in secondary sales. The SEC’s appeal, set for review in January 2025, and the crypto-friendly incoming SEC Chair Paul Atkins (sworn in April 21, 2025) could accelerate approvals. Analysts suggest XRP is a leading candidate for spot ETF approval due to its market cap ($127 billion, fourth-largest token) and growing institutional interest.Global Developments:Brazil: The XRPH11 ETF, issued by Hashdex, became the world’s first XRP ETF, launching on Brazil’s B3 exchange in April 2025. It invests at least 95% of its assets in XRP.Europe: The 21Shares XRP ETP (ticker: AXRP) and Bitwise Physical XRP ETP (ticker: GXRP) trade on European exchanges like SIX and Xetra. These are physically backed by XRP, stored with institutional custodians, and provide liquid exposure to XRP’s price.
