#XRPETF

An XRP ETF is an exchange-traded fund designed to track the price of XRP, the cryptocurrency native to the XRP Ledger, developed by Ripple for fast, low-cost cross-border payments. Unlike direct XRP ownership, an ETF allows investors to gain exposure through traditional brokerage accounts without managing digital wallets or navigating crypto exchanges. It’s traded on stock exchanges, offering high liquidity, regulatory oversight, and simplified tax reporting compared to holding XRP directly. Major firms like Bitwise, 21Shares, Canary Capital, and CoinShares have filed for XRP ETFs with the U.S. SEC, with proposals intensifying in late 2024. The 21Shares XRP ETP (AXRP), already trading in Europe, is 100% physically backed by XRP, with $558 million in assets under management as of early 2025. Brazil launched the world’s first spot XRP ETF, XRPH11, on the B3 exchange in 2025, managed by Hashdex. Potential benefits include institutional adoption and price stability, but risks involve market volatility, regulatory uncertainty—stemming from Ripple’s SEC lawsuit—and tracking errors. Approval hinges on the SEC’s stance, with optimism growing due to a pro-crypto regulatory shift under new leadership in 2025, potentially boosting XRP’s market presence.