Bitwise Asset Management has officially launched its spot XRP exchange-traded fund (ETF) on the New York Stock Exchange, marking a major step for institutional XRP exposure in the U.S. The fund will trade under the ticker XRP, carrying a management fee of 0.34%, which is waived for the first month on the first $500 million in assets.

XRP’s Appeal for Investors

Bitwise CIO Matt Hougan emphasized XRP’s unique attributes, highlighting its longevity, low operational costs, high transaction volumes, and strong community support. As of now, XRP ranks as the world’s third-largest non-stablecoin cryptocurrency with a market capitalization of $127.3 billion and over 4 billion transactions facilitated, showcasing its growing impact in the cross-border payments sector.

ETF Landscape and Competition

Bitwise’s fund follows Canary Capital’s XRPC, which has already accumulated $276.8 million in net inflows since its launch last week. Bitwise previously introduced its physically-backed XRP ETP (GXRP) in Europe, giving investors direct exposure to XRP. Grayscale and Franklin Templeton are expected to follow, with launches slated for next week. Bloomberg analyst James Seyffart noted that Grayscale’s GXRP and Dogecoin ETF, alongside Franklin Templeton’s XRP ETF, could all go live soon, highlighting the rapid expansion of U.S. altcoin ETFs.

Altcoin ETF Boom

The U.S. market has seen a surge in ETFs tracking cryptocurrencies beyond Bitcoin and Ethereum, including Solana, Litecoin, XRP, and Hedera. Additional funds tracking Cardano, Avalanche, and Polkadot are in the pipeline. This accelerated activity has been aided by recent SEC guidance, allowing issuers to launch products without explicit approval, streamlining the ETF rollout process.

Solana ETFs, in particular, have shown strong momentum, with six spot Solana ETFs launched since late October, accumulating $420.4 million in net inflows to date. The growth of altcoin ETFs reflects increasing institutional interest and liquidity in the broader crypto ecosystem.

Conclusion

Bitwise’s XRP ETF launch underscores the expanding accessibility of cryptocurrency to institutional investors and continues the rapid growth of altcoin-focused ETFs in the U.S. market. With multiple launches planned, this trend is likely to further enhance liquidity and adoption for leading digital assets outside of Bitcoin and Ethereum.