The approval of three XRP futures ETFs by U.S. regulators in mid-2025 marked a pivotal moment for digital assets. XRP—developed by Ripple Labs—has long been revered for its speed and cost-efficiency in cross-border payments. With ETF approval, XRP transitioned from a payment tool for financial institutions to a regulated investment vehicle, democratizing access to the digital asset market for both institutions and individuals.
Why XRP Stands Out
XRP and the XRP Ledger (XRPL) envision a world where international payments are as seamless as sending an email. Unlike Bitcoin’s energy-intensive mining, XRPL’s consensus algorithm settles transactions in seconds for negligible fees. Over 300 financial institutions use RippleNet, leveraging XRP as a bridge currency for instant, borderless transactions.
Key Characteristics of XRP:
- Lightning-fast settlement: 3–5 seconds per transaction.
- Ultra-low costs: Typically under $0.01.
- Fixed supply: Portions are burned with each transaction, enhancing scarcity.
Top XRP Investment Products
The XRP investment landscape has expanded rapidly, offering secure, regulated exposure through diverse products:
1. 21Shares XRP ETP (AXRP)
A 100% physically backed product with XRP stored in institutional-grade cold storage. Accessible via traditional brokerage accounts, AXRP eliminates the need for private keys.
👉 Discover how AXRP bridges blockchain and traditional finance
Key Features:
- Fully collateralized by XRP.
- Listed on major European exchanges.
- Climate-conscious operations.
2. Purpose XRP ETF
Canada’s first spot XRP ETF, launched in June 2025, offers direct exposure to XRP with CAD-hedged options to mitigate currency risk. Held by custodians like Coinbase, it’s eligible for registered accounts (TFSAs, RRSPs).
Key Features:
- Spot exposure (no derivatives).
- Institutional custody standards.
3. Grayscale XRP Trust
A closed-end trust for accredited investors, tracking XRP Ledger performance. Shares trade on secondary markets, though liquidity varies.
Key Features:
- Exclusive to accredited investors.
- Potential for secondary market trading.
4. Bitwise Physical XRP ETP (GXRP)
Listed on Germany’s XETRA exchange, GXRP offers redeemable physical XRP or cash, backed by cold-storage assets.
Key Features:
- 100% physical backing.
- German regulatory oversight.
5. CoinShares Physical XRP ETP
Traded on European exchanges like Xetra, this ETP uses audited cold storage via Komainu, ensuring transparency.
Key Features:
- Publicly disclosed reserves.
- Scalable to 3,400 transactions per second.
Legal Milestones and Regulatory Clarity
XRP’s journey to ETF approval was fraught with challenges. Ripple Labs’ prolonged SEC battle over XRP’s classification as a security concluded in 2024 when a federal court ruled most XRP sales non-securities. The SEC’s dropped appeal and a $125 million settlement paved the way for ETF filings by firms like Bitwise and 21Shares.
XRP’s Expanding Role in Finance
XRP ETFs transform XRP from a banking utility into a bridge between traditional finance and blockchain. Its speed, low cost, and transparency position it as a cornerstone of the digital asset ecosystem.
FAQs
1. How does XRP compare to Bitcoin for transactions?
XRP settles in 3–5 seconds at a fraction of Bitcoin’s cost and energy footprint.
2. Are XRP ETFs available globally?
Most are listed in Europe and North America, with growing accessibility worldwide.
👉 Explore global XRP ETF options here
3. What was the outcome of Ripple’s SEC case?
The SEC classified most XRP sales as non-securities in 2024, with Ripple paying a $125 million fine.
4. Can XRP ETFs be held in retirement accounts?
Yes, products like Purpose XRP ETF qualify for Canadian TFSAs and RRSPs.
5. How are XRP ETFs custodized?
Assets are held in cold storage by institutional custodians (e.g., Coinbase, Gemini).