Institutional interest drives XRP ETF growth
Steven McClurg, the CEO of Canary Capital, recently pointed out something interesting about XRP. He mentioned there’s “strong institutional demand” behind the asset’s recent breakout. This comes as XRP exchange-traded funds are getting close to that $1 billion mark in assets under management.
McClurg was responding to comments from Ripple CEO Brad Garlinghouse. He said his firm identified this institutional appetite for XRP early on. With his background in managing institutional money, McClurg said the demand was hard to ignore. He also connected XRP’s ETF success with Ripple’s new stablecoin, RLUSD, suggesting they might grow together.
Fast track to $1 billion
What’s really catching attention is how quickly these XRP ETFs are growing. Garlinghouse noted that XRP has become the fastest U.S. spot crypto ETF to reach $1 billion since Ethereum’s ETF did it back in 2024. That’s pretty fast when you think about it.
The numbers tell the story. XRP ETFs started trading on November 13, and they’ve already pulled in about $935 million in inflows. They’re literally just inches away from that billion-dollar milestone. For comparison, Solana ETFs began trading on October 28 and have about $640 million in inflows so far.
What’s maybe more interesting is that XRP ETFs haven’t had a single day of outflows since they launched. That’s unusual, I think. Major firms like Grayscale, Franklin Templeton, Bitwise, and Canary Capital itself are all involved, which probably helps with credibility.
Traditional finance takes notice
This institutional interest seems to be spreading. Michael Gayed, a well-known portfolio manager, recently mentioned he “might do something related to XRP.” That got people talking, especially since he’s had success with other products before.
For the XRP community, comments like these suggest something bigger might be happening. It’s not just crypto enthusiasts anymore—seasoned institutional strategists are starting to pay attention. That shift matters because institutions bring different kinds of capital and different expectations.
Just the beginning?
Garlinghouse has been saying this is still early days. He points out that crypto ETFs make up only 1% to 2% of the global ETF market. If that’s true, there’s potentially a lot of room left for growth.
Some in the community, like YouTuber Moon Lambo, think the ETF success already proves XRP’s legitimacy as a long-term asset. The debate about whether it will stick around might be over, in his view.
But here’s what I’m wondering: will this institutional demand hold up if markets get rough? ETFs make crypto accessible to retirement accounts and traditional brokerage platforms, which is new territory. That accessibility could change how people think about investing in digital assets.
The connection McClurg made between XRP ETFs and Ripple’s stablecoin is worth watching too. If both products grow together, it could create a sort of ecosystem effect. But that’s speculation at this point.
What seems clear is that institutions are finding ways to get exposure to XRP through regulated products. That’s different from the early days when most crypto investment happened through exchanges directly. This shift toward traditional financial structures might be what’s driving the current momentum.
Only time will tell if this is a temporary surge or the start of something more lasting. But for now, the numbers are speaking for themselves, and institutions appear to be listening.
