XRP ETFs: Everything you need to know

Will XRP ETFs be the next big thing after BTC and ETH ETFs? Read the latest developments of XRP ETFs, from ProShares’ UXRP futures fund to pending spot filings.

Key takeaways

• XRP is a major part of crypto exchange-traded fund (ETF) conversations following the successful launches of BTC and ETH ETFs.
  
• ProShares Ultra XRP (UXRP), launched in July 2025, is the first US XRP ETF. However, it is futures-based and leveraged, not spot.
  
• Multiple issuers — including Bitwise, Canary, 21Shares, VanEck, Invesco Galaxy, and Grayscale — have filed for spot XRP ETFs.
  
• Ripple’s legal clarity, the CME’s XRP futures listing, and a more ETF-friendly SEC have set the stage.
  
• Approval would cement XRP as the third pillar of US crypto ETFs, with Solana also contending for approval in the ‘third wave’ of filings.

Crypto ETFs evolution

After the success of Bitcoin and Ethereum ETFs, attention has shifted to the next contender: XRP. Often described as the cryptocurrency built for payments, XRP is now at the centre of its own ETF wave.

The backdrop looks significantly different from the ‘US Securities and Exchange Commission’s (SEC) vs Ripple’ lawsuit era. The long-running legal battle has since been resolved, and a regulated XRP futures product has even been launched.

In the same period, XRP reached a new all-time high (ATH) of about US$3.84. With several spot XRP ETF applications now sitting on the SEC’s desk, investors and institutions are watching closely to see whether XRP could become the third pillar of US crypto ETFs.

What is an XRP ETF?

An XRP ETF is an investment product that lets people gain exposure to XRP through a stock exchange, rather than by buying the cryptocurrency directly. Like other ETFs, it trades like a share in a brokerage account and is easily accessible to both retail and institutional investors.

There are two types of XRP ETFs to know:

• Spot XRP ETFs: These would hold XRP itself. Multiple issuers, including Bitwise and Canary, have filed applications for approval, with SEC decisions expected in late 2025.
• Futures-based XRP ETFs: These don’t hold XRP directly. Instead, they track the price of XRP through futures contracts. UXRP, launched in July 2025, is the first of this kind in the US.

In short, XRP ETFs give investors an easier, regulated way to access the asset. However, the type of ETF (futures vs spot) makes a big difference in how closely it tracks XRP’s real market price.

Spot ETFs track XRP more accurately, while futures ETFs can lag or behave differently depending on market conditions.

Current XRP ETF products

The first US XRP ETF to launch was UXRP in July 2025. Unlike BTC and ETH, where spot ETFs debuted first, XRP’s first ETF was futures-based and leveraged 2x, meaning it aims to deliver twice the daily performance of XRP futures.

• Pros: Regulated, exchange-traded exposure to XRP. It has shown strong market demand.
• Cons: Futures structure can cause tracking error. The leverage amplifies both gains and losses, and it is not a direct substitute for a spot ETF.

There are a handful of XRP exchange-traded products (ETPs) listed in Europe and Asia, but none have matched the scale and attention of the US market.

The launch was made possible by the CME listing XRP futures in May 2025, a critical regulatory step that opened the door to ETF products.

Pending spot XRP ETF applications

Several issuers have filed applications for spot XRP ETFs, with SEC decisions expected in late 2025. Key applicants include:

• Bitwise: One of the earliest crypto-focused ETF providers
• Canary Capital: Smaller entrant, aiming to carve out niche exposure
• 21Shares: Known for launching Europe’s first crypto ETPs, and has been expanding into the US market
• VanEck: Long-time ETF sponsor with deep experience in crypto filings
• Invesco Galaxy: Collaboration between a traditional asset manager and crypto-native partner
• Grayscale: Reportedly preparing a filing, after its high-profile conversion of GBTC to a Bitcoin ETF

Notably, several applicants have already amended their filings to align with SEC requirements, echoing the process seen during Ethereum ETF reviews. This suggests the SEC is engaged with issuers and that approval, while not guaranteed, is being actively prepared for.

Regulatory backdrop

The path to an XRP ETF has made numerous detours. For years, Ripple Labs was locked in a legal tussle with the SEC, accused of conducting unregistered securities offerings through XRP sales.

In 2023, a federal court delivered a pivotal ruling: while institutional sales might fall under securities law, secondary market transactions of XRP were not securities. This nuanced decision gave XRP the clarity it had lacked, and it sparked renewed confidence in its legitimacy.

The case continued through appeals and counter-appeals. But by 2025, the SEC’s stance softened, helped by a change in leadership when Paul S. Atkins took over as Chair in April 2025. Under his watch, the agency has shown more openness to crypto ETFs, following bitcoin and Ether ETF approvals.

Another milestone came in May 2025, when the CME listed XRP futures. This was a critical development: a regulated derivatives market often serves as the foundation for ETF approvals.

Benefits and limitations of XRP ETFs

What XRP ETFs mean for adoption

If approved, spot XRP ETFs would form the third pillar of US crypto ETFs, alongside BTC and ETH. They would make XRP readily available to retail investors, financial advisers, and institutions, potentially driving liquidity and use in its core niche: payments and tokenisation.

Key things to watch:

• SEC decisions on spot filings (expected in late 2025)
• Fund flows and investor demand once products launch
• Whether institutions integrate XRP exposure into portfolios by way of treasuries

The spotlight on XRP also raises the question of what might follow. With Solana increasingly on the radar of both investors and regulators, many see a potential SOL ETF as part of the same ‘third wave’ of crypto ETFs.

XRP ETF: Summary of developments

XRP ETF: a natural follow-up to BTC and ETH ETFs?

The XRP ETF story is the next act in crypto’s crossover with Wall Street. After BTC and ETH demonstrated strong appetite for regulated crypto exposure, XRP has emerged as the natural follow-up, backed by a legal victory, a futures market, and a community that has weathered years of uncertainty.

An XRP ETF won’t erase volatility, nor will it guarantee outsized inflows to the scale of Bitcoin’s. Instead, it will test whether a payments-focused cryptocurrency can gain the same level of investor confidence as ‘digital gold’ and ‘programmable money’.

If approved, spot XRP ETFs could alter the landscape once more; it won’t just be for Ripple and XRP holders, but for the broader narrative that crypto assets, once fought in court, can find a spot on the largest global exchanges.

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