TLDR
- A new SEC filing by Grayscale aims to transform its $16M XRP Trust into a NYSE-listed ETF, part of a growing trend of firms seeking XRP ETF approvals
- Trading volumes on XRP’s decentralized exchange hit a new milestone of $1B in January 2025
- Multiple firms including Bitwise and CoinShares are competing in the XRP ETF race
- JPMorgan analysts project $4-8B potential inflows for XRP ETPs based on BTC/ETH patterns
- Reports indicate discussions between Trump administration and Ripple about including XRP in national digital reserves
Investment powerhouse Grayscale has joined the growing race for America’s first XRP ETF, submitting a formal application to transform its existing XRP Trust into an exchange-traded fund. The proposal, filed January 30, 2025, aims to list the converted product on the New York Stock Exchange.
The move comes as XRP’s decentralized exchange celebrates a historic milestone, with January trading volumes topping $1 billion for the first time since launching its automated market maker features in May. This surge in activity has caught the attention of traditional finance players and institutional investors.
Currently managing $16 million in XRP assets, Grayscale’s trust represents just 1.2% of total XRP exchange-traded products, according to recent CoinShares data. The proposed ETF would maintain direct XRP exposure while introducing the benefits of exchange-traded structure, including improved liquidity and accessibility.
Market competition is intensifying, with five other investment firms already in line for SEC approval. Bitwise, Canary Capital, 21shares, WisdomTree, and Rex & Osprey have all submitted applications for spot XRP ETFs, highlighting the growing institutional appetite for regulated XRP investment vehicles.
Financial giant JPMorgan has weighed in on the potential market impact, estimating that XRP exchange-traded products could attract between $4 billion and $8 billion in investments. These projections draw parallels with the adoption patterns seen in Bitcoin and Ethereum investment products.
A leaked Chicago Mercantile Exchange page has added fuel to market speculation, suggesting XRP futures might debut on February 10, 2025. While the page was quickly removed and remains unconfirmed, it hints at expanding institutional infrastructure for XRP trading.

Bloomberg’s ETF analysts Eric Balchunas and James Seyffart have predicted 2025 will bring a “wave of crypto ETFs,” including XRP products. However, they caution that ongoing SEC lawsuits regarding XRP’s security status could impact approval timelines.
Monica Long, president of Ripple Labs, has expressed optimism about XRP ETF prospects under the current administration. Long points to President Trump’s pro-crypto innovation stance as a potential catalyst for approval.
Reports have emerged suggesting broader government interest in XRP. The Trump administration is reportedly exploring the inclusion of XRP, alongside USD Coin and Solana, in a proposed national digital asset reserve, though details remain preliminary.
The proposed ETF conversion would maintain the trust’s core function of tracking XRP’s price performance while potentially reducing operational complexity. If approved, investors would gain access to XRP exposure through traditional brokerage accounts.
Market observers note that Grayscale’s September 12 launch of the XRP Trust sparked early speculation about eventual ETF conversion plans. This latest filing confirms those market expectations and adds momentum to the broader push for XRP ETF approval.
Trading data through January 2025 shows sustained growth in XRP market activity, with decentralized exchange volumes maintaining strong upward momentum despite broader market fluctuations.
Upon conversion, the ETF would offer features typically associated with exchange-traded products, including continuous price quotes, intraday trading capability, and improved transparency compared to the current trust structure.
The SEC now faces decisions on six distinct XRP ETF proposals, marking a notable shift in the institutional approach to XRP investment products. The regulatory body has not yet indicated its timeline for reviewing these applications.
The most recent market data indicates continued expansion of XRP’s trading ecosystem, with both centralized and decentralized venues reporting increased activity levels through early 2025.
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