XRP ETF Approval: A New Era for Ripple and Digital Assets

When the news broke in mid-2025 that three XRP futures ETFs were approved by U.S. regulators, the digital asset world was set aglow. XRP—created by Ripple Labs—had been the vehicle of choice for years for anyone who needed speed and cheap cross-border payments.

But now that the ETF was approved, XRP was no longer simply an instrument of payment for banks and payment service providers; it was also a regulated investment vehicle, poised to revolutionize the way institutions and individuals access the digital asset market.

Why XRP Stands Out

Imagine an international payments system where money moves as quickly and cheaply as email. That's the dream of XRP and the XRP Ledger (XRPL). As opposed to Bitcoin mining's power-hungry model, XRPL uses a consensus algorithm that enables transactions to settle in seconds, for pennies.

Over 300 financial institutions already leverage RippleNet's peer-to-peer network, leveraging XRP as a bridge for instant, borderless payments.

Key Characteristics of XRP:

• Incredibly fast settlement (3–5 seconds)
• Extremely low costs (usually less than $0.01)
• Fixed supply, with a portion burned with every transaction

Top XRP Investment Products

The range of XRP investment products has grown with a very high speed, offering investors several ways to achieve regulated, secure, and easy access to the asset. Follows is a closer look at some of the most notable offerings available in the market:

21Shares XRP ETP (AXRP)

21Shares XRP ETP (AXRP) is a 100% physically backed exchange-traded product, where every share is fully backed by real XRP tokens held in institutional-grade cold storage. This arrangement offers transparency and security to investors. AXRP is made easy to use—investors can have access to it through traditional brokerage accounts, without needing to handle wallets or private keys.

The product is plugged into the larger financial system, enabling access to the convergence of blockchain and mainstream finance. 21Shares also focuses on climate protection, investing in environmental initiatives in addition to its crypto products.

Key Features:

• Completely backed by XRP, safely stored
• Listed on key European exchanges
• Available through standard brokers and advisors
• Climate-responsible operations

Purpose XRP ETF

First launched in June of 2025, the Purpose XRP ETF is Canada's first spot XRP ETF, providing direct access to the native currency of the XRP Ledger. What makes it stand out is the CAD-hedged option, which bars Canadian investors from facing the currency risk associated with the U.S. dollar. The ETF is held in cold storage with reputable custodians like Gemini and Coinbase, and can be used in registered accounts like TFSAs and RRSPs.

Purpose made this product advisor-friendly, allowing investors to easily add XRP exposure to their portfolios without the operational inconvenience of dealing with digital assets directly.

Key Features:

• Direct spot exposure to XRP, not derivatives
• CAD-hedged units available
• Institutional-quality custody
• Accredited investor eligible for Canadian registered accounts

Grayscale XRP Trust

Grayscale's XRP Trust offers exposure to XRP in an old-fashioned closed-end trust structure with appeal to individual and institutional accredited investors. The Trust holds XRP as its sole asset, tracking the performance of the XRP Ledger. Shares may trade on secondary markets, but no guarantee.

Similar to other Grayscale products, the Trust may trade at a premium or discount relative to the value of the underlying asset, and investors should expect potential liquidity and pricing differences.

Key Features:

Closed-end trust, daily subscription to accredited investors

Secondary market trading potential

Exposure to XRP's cross-border payments protocol

Bitwise Physical XRP ETP (GXRP)

Bitwise's GXRP ETP is a physically backed security listed on Germany's XETRA exchange. It provides legal right to the underlying XRP, with assets in professional cold storage held by an independent trustee.

The ETP is redeemable for physical XRP or sellable on the exchange, offering investors flexibility and protection. Issued under German law, GXRP is structured for transparency and cost-efficiency with total expense ratio of 1.95% per annum.

Key Features:

• 100% physically backed by XRP.
• Traded on XETRA, supervised in Germany.
• Redeemable for XRP or cash.
• Cold-storage custody.

CoinShares Physical XRP ETP

CoinShares offers a leading physically-backed XRP ETP, listed on a number of European markets including Xetra and SIX Swiss Exchange. Every XRP is kept in institutional-grade custodian Komainu, whose reserves are independently audited and publicly disclosed for transparency.

CoinShares' ETP is available to investors through standard investment platforms, offering a simple means to gain secure, regulated exposure to XRP.

Key Features:

• 100% physically backed, with publicly disclosed reserves
• Traded on major European exchanges
• Institutional-grade cold storage
• Decentralized public ledger for openness
• Can scale to 3,400 transactions per second

Legal Drama and Regulatory Shifts

The path to ETF approval was not easy. Ripple Labs' decade-long fight with the SEC on whether XRP constituted a security or currency left the market in suspense. In 2024, a federal court judge declared most of the sales of XRP not to be securities, and the SEC dropped its appeal after Ripple settled for a $125 million fine.

This judicial clarity opened the way to ETF filings by Bitwise, 21Shares, Canary Capital, and others.

XRP's Role in the Digital Asset Market

With ETFs now on the market, XRP is no longer just an engineering solution for banks—it's a gateway between worlds of conventional finance and blockchain.

As products go to market and regulatory environments evolve, XRP's speed, efficiency, and transparency make it a cornerstone of the digital asset revolution.