XRP’s new US spot ETFs have gone from launch to a billion dollars in weeks, creating one of the strongest institutional demand stories in crypto as regulators, Wall Street and the Fed all shape the next leg of the rally.
Billion‑dollar ‘rare XRP win’ for Garlinghouse
Ripple CEO Brad Garlinghouse is celebrating what he’s calling a rare and long‑awaited victory for XRP.
A recent article from TheStreet’s crypto desk reports that Garlinghouse has been highlighting how US spot exchange‑traded funds (ETFs) tied to XRP have become the fastest crypto products to reach $1 billion in assets under management (AUM) since the launch of Ethereum ETFs. [1]
Drawing on flow data from on‑chain analytics platform SoSoValue, the piece notes that by December 5 US spot [2]
Since then, the market has moved even faster:
- By the first week of December, XRP ETFs were closing in on the $900 million mark , after an unprecedented 13 consecutive trading sessions of net inflows and no outflow days. [3]
- A few days later, multiple data providers and news outlets began confirming that combined XRP ETF assets had pushed past the $1 billion milestone , making them one of the fastest‑growing crypto ETP launches on record. [4]
Garlinghouse has leaned into the moment on social media and in interviews, pointing to the ETF boom as validation of XRP’s staying power after years of regulatory uncertainty and a bruising legal fight with the US Securities and Exchange Commission (SEC).
16 straight days of inflows: XRP ETF demand refuses to cool
The story is not just about a headline number. It’s about relentless, day‑after‑day inflows .
A CoinDesk report (syndicated through several data and news platforms) found that by December 8 , US spot [5]
Kitco’s latest Crypto SWOT column highlighted the same trend as one of the “strengths” in the digital‑asset market:
- US spot XRP ETFs had recorded 13 straight days of inflows , adding $50.27 million on December 3 alone.
- Cumulative net inflows reached $874 million by early December, putting XRP ETFs on pace to reach $1 billion in under a month —among the fastest trajectories ever seen for an altcoin ETF launch. [6]
On December 10, 2025 , the picture has only intensified:
- FXEmpire reports that XRP spot ETFs have now extended their run to a 16‑day inflow streak , with total net inflows nearing $935 million and overall ETF AUM crossing the $1 billion threshold in under four weeks. [7]
- A market note on TradingView similarly summarizes the “XRP ETFs hit $1B in assets” milestone, pointing out that XRP is trading around $2.09 while the ETFs absorb capital at a pace that surprised even issuers. [8]
- A separate round‑up from U.Today and other aggregators estimates that the products now hold roughly $1.2–$1.3 billion in AUM , backed by more than 590 million XRP tokens . [9]
In other words: flows are not just strong—they’re statistically unusual . One CryptoRank analysis described 13 straight sessions without outflows as a “statistical anomaly” for any newly launched ETF segment, let alone a single altcoin. [10]
Why institutions suddenly care about XRP
The surge in ETF demand is not happening in a vacuum. Several structural shifts in 2025 have rewired how large investors think about XRP and the broader crypto space.
1. The SEC–Ripple case finally ends
In August, the SEC formally ended its multi‑year lawsuit accusing Ripple Labs of selling unregistered securities. As part of the deal, Ripple agreed to a $125 million civil penalty , while regulators effectively accepted earlier court findings that XRP itself is not a security when traded on secondary markets such as exchanges. [11]
That settlement removed the biggest single cloud hanging over XRP. Lawyers and market analysts have since pointed out that:
- Secondary‑market trading of XRP is treated more like a commodity‑style asset than a traditional security.
- The main remaining restrictions relate to direct institutional sales by Ripple, which are now tightly circumscribed. [12]
With the case closed and the penalty quantified, compliance teams at banks, asset managers and brokerages suddenly had a green light to treat XRP exposure as a manageable regulatory risk—especially in ETF form.
2. SEC green‑lights multiple spot XRP ETFs
Once the legal fog cleared, ETF issuers wasted no time. Throughout late 2025, firms including Canary Capital, Bitwise, Franklin Templeton, REX‑Osprey, Grayscale and 21Shares rolled out US‑listed spot XRP ETFs on exchanges such as Nasdaq, NYSE Arca and Cboe. [13]
An overview published by AInvest notes that:
- XRP ETFs gained SEC approval in 2025, with the agency effectively treating XRP as a commodity‑like digital asset for the purpose of these products.
- Within months, nine different XRP ETFs collectively amassed over $600 million in AUM , before the December inflow spike pushed that figure toward—and then beyond—$1 billion. [14]
Kitco’s SWOT analysis puts XRP’s ETF growth in context: Bitcoin ETFs have drawn roughly $58 billion since launching in 2024, and Ethereum ETFs around $13 billion , but no altcoin ETF family has ramped to $1 billion this quickly . [15]
3. CFTC and banking regulators open more doors
Beyond the SEC, other US regulators are reshaping the playing field in ways that favor regulated crypto products:
- On December 4 , the Commodity Futures Trading Commission (CFTC) announced that spot crypto products can begin trading on CFTC‑registered exchanges for the first time, a move explicitly meant to shift liquidity from opaque offshore venues into “gold‑standard” US markets. [16]
- A series of new CFTC guidelines on tokenized collateral also clarified how digital assets can be used in futures and swaps markets, further normalizing crypto in institutional portfolios. [17]
- On December 9 , the US Office of the Comptroller of the Currency (OCC) said banks are now allowed to act as intermediaries in crypto transactions on a “riskless principal” basis—another step toward blending traditional banking rails with digital assets. [18]
Taken together, these moves make ETF wrappers look like the cleanest, most familiar way for institutions to gain exposure to XRP: they’re regulated, custodial and easily slotted into existing compliance frameworks .
Inside the ETF boom: who’s buying what?
While detailed, real‑time holdings data can vary by provider, several reports paint a consistent picture of how the XRP ETF landscape looks as of December 10:
- The US spot XRP ETF market currently includes a handful of flagship products , including Canary’s XRPC, Franklin’s XRPZ, REX‑Osprey’s XRPR, Bitwise’s [19]
- By early December, these funds together had absorbed $880–$900 million in cumulative net inflows , with total net assets initially hovering in the high‑$800 million range before surging past $1 billion in AUM over the weekend. [20]
- More recent tallies from exchange and aggregator dashboards suggest that XRP ETF assets have climbed toward roughly $1.2 billion , holding close to 600 million XRP tokens between them. [21]
An AInvest breakdown argues that XRP’s ETF appeal remains on three pillars:
- Regulatory clarity after the SEC settlement.
- Institutional‑grade custody and trading infrastructure , including Ripple’s own Ripple Prime offering targeting professional clients.
- XRP’s utility in cross‑border payments , with fast settlement and low fees compared with legacy rails. [22]
From the issuer side, several firms have hinted that demand has exceeded their initial models , especially for Canary’s XRPC product, which some U.Today coverage says has overtaken rivals in both volume and assets. [23]
Macro backdrop: Fed, rates and the ‘ETF era’ of crypto
This ETF frenzy is unfolding right as macro conditions turn in crypto’s favor—at least for now.
FXEmpire’s latest XRP outlook notes that:
- XRP spot ETFs logged $38 million in net inflows on Monday, December 8 , lifting total net inflows to around $935 million .
- Those inflows arrived just as markets price in a high probability of a Federal Reserve rate cut at the December 10 FOMC meeting, which has historically boosted risk assets like crypto.
- Technically, XRP is still trading below key moving averages, but ETF demand and expectations of easier monetary policy underpin short‑term targets in the $2.35–$2.50 range. [24]
Broader institutional flow data also shows a rotation underway:
- CryptoRank and CoinEdition report that digital asset ETPs attracted around $716 million in net inflows in a recent week, with XRP and Chainlink among the biggest beneficiaries. [25]
- A separate flows recap from Bitcoin.com highlights that while Bitcoin and Ethereum ETFs have seen net outflows during a volatile first week of December, Solana and XRP funds remained in the green , suggesting diversification away from the most crowded trades. [26]
In other words, XRP is not only riding a crypto‑wide ETF wave ; it’s also one of the few altcoins capturing sustained institutional inflows while some of the flagship products bleed.
Price vs. flows: XRP still stuck near $2
If ETFs are screaming “bullish,” XRP’s spot price is whispering “not so fast.”
Despite the historic inflows:
- XRP is trading in the $2.00–$2.10 range, well below its July 2025 highs around $3.65. [27]
- An Investing.com analysis points out that XRP is consolidating below its 50‑day EMA , with price resilience owed largely to ETF support rather than a broad retail frenzy. Futures open interest and derivatives volumes are still far off this year’s peaks, underscoring tepid speculative activity. [28]
- Earlier this week, a CoinDesk sentiment piece (summarized by several news dashboards) described XRP as suffering a –7.4% weekly performance even as ETF demand remained robust—evidence of a decoupling between institutional accumulation and short-term price action . [29]
For now, the picture is:
Big money is quietly loading up via ETFs, while many retail traders are either cautious or distracted elsewhere.
That dynamic can cut both ways. If price eventually “catches up” to flows, it may fuel a sharp upside move. If macro conditions deteriorate or ETF flows slow, retail could end up providing exit liquidity rather than momentum.
SWOT check: strengths, risks and open questions
Kitco’s Crypto SWOT column offers a useful framework for thinking about what comes next for XRP and its ETFs: [30]
Strengths
- Record ETF inflows and one of the fastest paths to $1 billion AUM in altcoin ETF history.
- New CFTC‑regulated spot crypto venues and expanding ETF access at major brokerages (including a reported U‑turn from Vanguard on crypto ETFs) deepen liquidity and legitimacy. [31]
Weaknesses
- XRP’s price underperformance versus Bitcoin and certain high‑beta altcoins, despite the ETF narrative. [32]
- Continued reliance on macro tailwinds—particularly Fed rate cuts—to justify risk-asset multiples.
Opportunities
- Analysts quoted by AInvest and other outlets see potential for XRP to reach $3.50–$3.80 over the next cycle if ETF inflows and macro support persist. [33]
- Expansion of XRP into cross‑border payment rails, corporate treasuries and prime brokerage services could reinforce its narrative as more than just a speculative token. [34]
Threats
- Leverage across the broader crypto ecosystem remains a structural risk, with leveraged products and derivatives blow‑ups still capable of dragging down even fundamentally strong flows. [35]
- Regulatory direction outside the US—particularly around stablecoins and banking access—could either amplify or blunt the impact of US-listed XRP ETFs. [36]
What to watch next
For readers tracking XRP, ETFs and the broader digital‑asset market, the key storylines after December 10 are:
- Can the inflow streak last?
A 16‑day streak is already remarkable. A break in flows—especially if accompanied by macro jitters—would be the first real stress‑test of institutional conviction. [37] - Will BlackRock or other mega‑issuers join the party?
Analysts on Investing.com and AInvest note that many in the market expect a heavyweight entrant (such as BlackRock’s iShares brand) to eventually file for an XRP ETF, which could dramatically expand distribution. [38] - Fed decisions and the rate path through 2026
The December 10 FOMC meeting and updated “dot plot” will help determine how long risk assets can lean on the rate‑cut narrative. A hawkish surprise could cool ETF demand; a dovish path could keep the fire burning. [39] - How fast does retail come back?
Derivatives metrics suggest retail is still hesitant. A spike in futures open interest and exchange volume—especially if it coincides with ETF inflows—would be a sign that the next phase of the XRP cycle is underway. [40]
XRP’s ETF story has flipped a long‑running narrative on its head. After half a decade of regulatory battles and uncertainty, the token is now at the center of one of the strongest institutional adoption waves in crypto.
Whether that translates into a sustained price breakout—or remains a spectacular but transient liquidity event—will depend on what happens next in Washington, on Wall Street and at the Fed.
References
1. muckrack.com, 2. muckrack.com, 3. cryptorank.io, 4. www.tradingview.com, 5. www.coinglass.com, 6. www.kitco.com, 7. www.fxempire.com, 8. www.tradingview.com, 9. thecryptobasic.com, 10. cryptorank.io, 11. www.reuters.com, 12. coincub.com, 13. www.disruptionbanking.com, 14. www.ainvest.com, 15. www.kitco.com, 16. www.reuters.com, 17. www.cftc.gov, 18. www.reuters.com, 19. www.investing.com, 20. cryptorank.io, 21. thecryptobasic.com, 22. www.ainvest.com, 23. coinstats.app, 24. www.fxempire.com, 25. cryptorank.io, 26. news.bitcoin.com, 27. www.investing.com, 28. www.investing.com, 29. www.coindesk.com, 30. www.kitco.com, 31. www.fxempire.com, 32. www.investing.com, 33. www.ainvest.com, 34. www.ainvest.com, 35. www.kitco.com, 36. www.kitco.com, 37. www.fxempire.com, 38. www.investing.com, 39. www.fxempire.com, 40. www.investing.com
