Spot XRP exchange-traded funds (ETFs) have officially crossed a major milestone, with net assets surpassing $1 billion as investor demand continues to accelerate. According to data from SoSoValue, total assets under management (AUM) for spot XRP ETFs reached approximately $1.18 billion, while cumulative net inflows climbed to $990.9 million.
Market analysts believe this momentum could mark the early stages of a much larger institutional allocation cycle. If current inflow trends persist, total ETF inflows could exceed $10 billion by 2026, potentially reshaping XRP’s supply-demand dynamics.
XRP ETFs Overtake Solana-Based Products
Steven McClurg, CEO of Canary Capital, highlighted that although Solana ETFs launched earlier, XRP ETFs have now surpassed them in total AUM, signaling stronger institutional appeal.
“I expected this outcome,” McClurg explained. “SOL is more efficient for on-chain holding and staking, especially for retail users. XRP, however, has stronger institutional demand and no staking component, making ETFs a more attractive vehicle for traditional investors.”
Currently, five asset managers offer spot XRP ETFs, including Grayscale, Franklin Templeton, Bitwise, Canary Capital, and 21Shares. The recent launch of 21Shares’ TOXR ETF has further expanded regulated access to XRP exposure.
Institutional Demand Builds Supply Shock Narrative
Analysts emphasize that this growth has occurred without participation from major ETF issuers such as BlackRock and with only a handful of products available.
“This is just five spot ETFs. No BlackRock. No 10–15 ETF lineup yet—but they are coming,” commented X Finance Bull.
At an estimated $200 million in weekly inflows, XRP ETFs could absorb more than 5 billion XRP by 2026. At that scale, analysts argue that liquid supply constraints could trigger a structural supply shock, as institutions systematically accumulate while retail investors sell short-term volatility.
Price Action Lags Despite Strong Inflows
Despite the bullish ETF narrative, XRP’s price performance has remained relatively muted. Over the past month, XRP has declined nearly 13%, trading around $2.00 at the time of writing.
However, some analysts view this divergence as constructive. Market commentator Xaif Crypto noted that whale activity remains elevated, a behavior often observed near market bottoms.
“Large holders are actively accumulating during weakness, not chasing price during rallies,” he said. “This type of activity typically precedes trend reversals.”
Outlook
The rapid rise of spot XRP ETFs underscores growing institutional confidence, even as near-term price action lags behind capital inflows. While short-term volatility remains a risk, sustained ETF demand could become a decisive catalyst for XRP’s next major cycle.
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