Under normal market conditions, the fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in XRP and other assets that provide exposure to XRP’s price movements. However, although it seeks returns that correspond closely to XRP’s performance, its results will not fully replicate the token’s market price.
As it stands, XRPR is currently the only XRP ETF available in the US. However, several major asset managers, including WisdomTree and CoinShares, have filed applications for pure spot XRP ETFs that would have the structure of spot Bitcoin ETFs. These proposed funds would directly hold XRP in custody and offer complete one-to-one exposure to its market price.
The final deadline on most of these Spot XRP ETF applications was set between October 19 and October 25. However, progress has stalled due to the ongoing US government shutdown, which has effectively frozen the Securities and Exchange Commission’s (SEC) review process.
At the time of writing, XRP is trading at $2.54, up by 3.6% in the past 24 hours.
Featured image from Pexels, chart from TradingView
