The cryptocurrency market has hit another remarkable milestone, with XRP exchange-traded funds (ETFs) recording over $1 billion in cumulative net inflows just one month after their launch. This achievement showcases a pivotal shift in cryptocurrency investments, indicating growing interest from both institutional and individual investors.
A Closer Look at XRP ETF Numbers
On December 15, daily inflows for XRP ETFs reached $10.89 million, pushing total net assets to $1.12 billion. This accounts for nearly 1% of the total XRP market capitalization. According to data from SoSoValue, the Canary Capital XRP ETF (XRPC) leads the pack with $376.5 million in cumulative inflows since its launch on November 13. Other major contributors include:
- Grayscale XRP ETF (GXRP): $219.76 million
- Bitwise XRP ETF (XRP): $212.58 million
- Franklin Templeton XRP ETF (XRPZ): $192.96 million
The rapid growth of XRP ETFs makes them the second-fastest financial product of their kind to reach the $1 billion benchmark, trailing only Bitcoin ETFs. This is a significant development, especially given the relatively smaller market cap of XRP and the absence of dominant management firms like BlackRock among the ETF issuers.
The Demand for XRP ETFs
XRP ETFs have not only overtaken Solana (SOL) ETFs in inflows but are also driving increased participation through regulated investment channels. Solana ETFs, despite a strong start with $100 million in assets under management in just 12 days, have so far reached $711.28 million in cumulative net inflows. Comparatively, the Canary Capital XRP ETF emerged as a standout performer from day one, attracting $59 million in trading volumes and closing its first session with $250 million in assets under management.
Shifting the Investment Landscape
Regulatory hurdles had previously kept XRP from institutional trading platforms. The introduction of spot ETFs changed this trajectory, offering investors a more streamlined and secure way to invest. Analysts speculate that at the current daily inflow rate of $225 million per week, cumulative net inflows across all XRP ETFs could reach a staggering $10 billion within the next year.
How to Invest in XRP ETFs
If you’re new to cryptocurrency ETFs, platforms like eToro provide an easy way to get started. Offering crypto, stocks, and even precious metals with low fees, eToro allows you to diversify your portfolio effectively. They also feature a copy trading option to follow top-performing traders for automated investments.
Whether you’re an experienced trader or a beginner, the introduction of XRP ETFs opens new opportunities in the ever-evolving world of cryptocurrency investment.
