Exchange-traded funds linked to Ripple have marked a historic debut in traditional financial markets. In its first month of operations, the XRP ETF accumulated an impressive total of $643.92 million in net inflows, according to the most recent data revealed by the analytics platform SoSoValue.
Daily performance remained positive throughout most of the period, highlighting sessions with extraordinary capital volumes. Specifically, November 14 saw massive inflows of $243.05 million, followed by another significant peak of $164.04 million on the 24th of the same month, demonstrating the consistency of investor interest.
Total net assets under management have reached $676.49 million, representing 0.50% of the token’s total market capitalization. Leading companies such as Grayscale, Franklin Templeton, Bitwise, and Canary have been the main drivers behind this sustained trading activity on US exchanges, facilitating institutional access.
On the other hand, this success contrasts notably with the performance of other financial products recently launched in the sector. While Ripple funds thrive, spot ETFs for assets like Dogecoin, HBAR, and Litecoin failed to spark comparable interest among qualified institutional investors during their opening week.
By direct comparison, Dogecoin products managed by asset managers like Bitwise and Grayscale barely attracted $2 million in their first 48 hours. This underscores the professional market’s current preference for assets with clear financial utility and enterprise use cases over memecoins or projects with less infrastructure.
What impact does this accumulation have on the XRP price?
Likewise, institutional buying pressure has served as a vital counterweight against general crypto sector volatility. The token has remained trading around the $2.23 mark, as fund demand offsets the weakness observed in the broader market during recent trading sessions.
Franklin Templeton recently disclosed holdings of over 32 million tokens in its fund as of November 25. This constant accumulation trend effectively reduces the liquid supply available on exchanges, transferring large volumes of assets into regulated storage solutions and long-term cold custody, which strengthens the asset’s fundamentals.
Finally, the competitive landscape is far from stagnating, with new institutional players preparing to enter the arena imminently. 21Shares is expected to launch its own spot product this Monday, while WisdomTree’s application remains under active regulatory review, which could catalyze even more capital into the ecosystem in the coming fiscal quarter.
