XRP ETF Launches with $46M Inflow Despite Price Dip

The Canary Capital XRP (XRPC) exchange-traded fund demonstrated remarkable investor appetite during its Thursday launch, attracting more than $46 million in inflows within its first hours of trading. This substantial capital commitment occurred despite both the ETF and the underlying XRP token experiencing price declines on launch day. The significant inflow figures position the XRP ETF as one of the hottest crypto ETF launches anticipated for 2025, showcasing institutional and retail investor confidence in the digital asset despite immediate market headwinds.

Trading activity for XRPC was particularly robust in the opening moments, with senior Bloomberg ETF analyst Eric Balchunas reporting $26 million in trading volume within the first 30 minutes alone. This explosive start indicates strong market maker participation and investor interest, even as price performance failed to meet some expectations. The divergence between trading volume and price action suggests that while some traders took profits or sold positions, new capital continued flowing into the ETF, creating a complex market dynamic for the newly launched product.

The path to XRP ETF approval gained significant momentum following the reelection of US President Donald Trump and the ensuing pro-crypto regulatory pivot, according to market analysts. Bloomberg ETF analyst James Seyffart noted that the highly anticipated ETF had been on analysts’ radar since 2024, with odds of an XRP investment vehicle surging in the post-election environment. This regulatory shift created the necessary conditions for the XRP ETF to join Bitcoin and Ethereum spot ETFs as approved digital asset investment vehicles available to US investors.

The timing of the XRP ETF launch reflects the evolving regulatory landscape for cryptocurrency in the United States. The pro-crypto stance emerging from the Trump administration provided the regulatory clarity and political support needed for such products to gain approval from the Securities and Exchange Commission. This represents a significant departure from previous regulatory uncertainty surrounding XRP and other digital assets, marking a new chapter in the integration of cryptocurrency into mainstream financial markets through regulated investment vehicles.

The successful launch of the XRP ETF, despite initial price weakness, signals growing institutional acceptance of digital assets beyond the cryptocurrency giants Bitcoin and Ethereum. The $46 million inflow figure demonstrates that investor interest extends to alternative cryptocurrencies with established use cases and market presence. This expansion of the crypto ETF universe provides investors with diversified exposure to the digital asset space through familiar, regulated investment structures, potentially attracting capital that previously avoided direct cryptocurrency ownership due to regulatory concerns or custody challenges.

While the price decline on launch day may concern short-term traders, the substantial capital commitment suggests longer-term confidence in XRP’s prospects within the evolving regulatory framework. The combination of strong trading volume and significant inflows indicates that market participants see value in XRP exposure through the ETF structure, regardless of immediate price movements. As the crypto ETF landscape continues to mature, the XRP ETF’s performance will be closely watched as an indicator of investor appetite for alternative digital asset exposure and the effectiveness of the current regulatory approach to cryptocurrency investment products.