$XRP is included in the Nasdaq cryptocurrency price index, marking an important milestone in the course of institutional adoption and paving the way for unprecedented market expansion.
On June 6, the Nasdaq Crypto Index US ETF filed an update with the U.S. Securities and Exchange Commission (SEC), detailing the revision of its benchmark index. The document states that Nasdaq Inc. revised the U.S. cryptocurrency price index (NCIUS) on June 2, expanding its composition beyond bitcoin ($BTC ) and ether ($ETH ), adding four more digital assets. As stated in the filing:
Starting from June 2, 2025, the index introduced additional components to the index (cardano (ADA), solana (SOL), stellar lumens (XLM), and XRP (XRP)).
This ETF, trading under the ticker NCIQ, provides market capitalization-weighted exposure to BTC and ETH within a regulated exchange framework. It tracks the U.S. Nasdaq cryptocurrency price index, which applies a rules-based methodology allowing for the inclusion of new digital assets over time.
Although the asset base of the index is expanded, existing regulatory restrictions prevent the Hashdex ETF from holding cryptocurrencies other than BTC and ETH. Therefore, the ETF cannot replicate the expanded index, creating a risk of performance divergence. The exception of newly included assets increases the likelihood of tracking error due to discrepancies between the fund's assets and the benchmark.
The SEC filing explicitly highlights this mismatch:
According to current regulatory restrictions, the Trust is allowed to hold only bitcoin and ether, and is not permitted to hold new components of the index, thus increasing the risk of potential tracking error.
Nasdaq submitted a separate proposal to amend rules to the SEC on March 7, seeking approval for the ETF to adopt a broader Nasdaq Crypto Index (NCI) as its official benchmark. This index covers BTC, ETH, XRP, SOL, ADA, XLM, as well as chainlink (LINK), litecoin (LTC), and uniswap (UNI). Notably, XRP was included in the NCI on June 3, 2024. If the SEC approves the amendment, the ETF will also be authorized to hold all components of the index. The agency's final decision is expected by November 2, 2025.
