XRP News Today: XRP ETF Highlights Blockchain’s Emergence as a Worldwide Payment System
- Franklin Templeton launched XRPZ ETF , its first XRP-focused fund tracking CME CF XRP-Dollar rate, expanding crypto offerings. - The ETF follows Ripple's 2025 SEC settlement resolving a 5-year legal battle, enabling regulated XRP products and institutional adoption. - XRPZ attracted $62.59M in first-day inflows, outperforming Solana ETFs, leveraging XRP's cross-border payment utility and low volatility. - Zero-fee structure for first $5B assets and XRP's federated consensus model position it as scalable
Franklin Templeton Unveils XRPZ ETF, Expanding Digital Asset Portfolio
Franklin Templeton has introduced the Franklin XRPZ ETF, a notable addition to its digital asset lineup that reflects increasing institutional trust in XRP as a regulated investment. The ETF, which began trading on NYSE Arca on November 24, operates as a grantor trust, directly holding XRP tokens and mirroring the CME CF XRP-Dollar Reference Rate (New York Variant). This launch follows Ripple's resolution with the U.S. Securities and Exchange Commission in August 2025, which ended a prolonged legal dispute and paved the way for compliant XRP investment products.
Integration with Existing Crypto Offerings
The XRPZ ETF joins Franklin Templeton’s roster of crypto-related exchange-traded products, which already includes the Franklin Bitcoin ETF (EZBC) and Ethereum ETF (EZET). Roger Bayston, who leads Digital Assets at Franklin Templeton, described XRP as a key component in the global settlement ecosystem, emphasizing its effectiveness in facilitating international payments and supporting decentralized networks. The fund ensures daily transparency, robust liquidity, and secure custody through Coinbase Custody Trust Company, while BNY Mellon manages administrative and cash custody responsibilities.
Strong Institutional Demand and Market Performance
The debut of the XRPZ ETF coincided with heightened institutional interest in XRP-focused ETFs, fueled by clearer regulations and XRP’s proven utility in fast, cost-effective transactions. On its opening day, the fund attracted $62.59 million in new investments, contributing to a cumulative $164 million in XRP ETF inflows. This rapid uptake surpassed the monthly inflows of Solana ETFs, which had accumulated $568 million, highlighting XRP’s swift acceptance among alternative cryptocurrency ETFs.
Competitive Pricing and Portfolio Appeal
Franklin Templeton’s aggressive fee strategy has further attracted investors, as the company is waiving management fees on the first $5 billion in assets until May 2026, effectively offering early investors a no-cost opportunity. Combined with XRP’s recent price surge—an 8.25% increase in just 24 hours—the ETF stands out as an appealing choice for those seeking diversification. Analysts point to XRP’s minimal correlation with traditional markets and its integral role in the XRP Ledger’s cross-currency settlement as reasons for its growing appeal in institutional portfolios.
Industry Momentum and Future Outlook
The launch of XRPZ mirrors a broader trend in the digital asset sector, with firms like Grayscale, Bitwise, and Canary Capital also rolling out similar products. These developments highlight the evolution of the crypto market, where blockchain-native tokens are increasingly recognized as foundational infrastructure rather than mere speculative assets. David Mann, Franklin Templeton’s head of ETF Product and Capital Markets, noted that XRP’s federated consensus mechanism and energy efficiency make it well-suited to institutional requirements for scalable and sustainable solutions.
Looking Ahead
Market analysts expect continued growth in XRP ETF investments, with projections indicating that assets under management could reach $2 billion by the end of the year. Despite this optimism, challenges such as regulatory ambiguity and XRP’s historical price volatility persist. Franklin Templeton’s XRPZ ETF, alongside other XRP-based funds, is designed to simplify the investment process for institutions while addressing these ongoing risks.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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