XRP Price: Franklin Templeton and Grayscale Launch ETFs with $164M Single-Day Inflows

TLDR

• XRP price increased 8% after Franklin Templeton and Grayscale launched their XRP ETFs on November 25, 2024, joining Bitwise and Canary Capital’s funds
• Spot XRP ETFs recorded $164 million in single-day inflows on November 24, the second-largest total since launch
• Grayscale’s GXRP led with $67.36 million in inflows, while Franklin Templeton’s XRPZ brought in $62.59 million on its first day
• Canary Capital’s XRPC fund has reached $306 million in total investments since launching on November 21
• Analyst Chad Steingraber predicts XRP ETFs could eventually see billion-dollar inflow days similar to Bitcoin ETFs

XRP price climbed 8% on November 25 as Franklin Templeton launched its XRP ETF on the NYSE Arca. The Franklin XRP ETF began trading under the ticker XRPZ, providing investors with regulated access to the cryptocurrency.

The launch came alongside Grayscale’s XRP Trust ETF (GXRP). These followed similar launches from Bitwise Asset Management and Canary Capital in recent days. XRP is the native asset of the XRP Ledger, an open-source blockchain developed by Ripple.

David Mann, Franklin Templeton’s head of ETF product and capital markets, said XRPZ offers investors a convenient and regulated way to access the digital asset. The ETF provides transparency and oversight for those wanting exposure to XRP.

NYSE Arca showed 768,692 shares of XRPZ traded on its first day. Bitwise CEO Hunter Horsley reported his company’s XRP ETF had approximately $118 million in inflows during its first week of trading.

Record Inflows Drive Market Activity

Spot XRP ETFs pulled in $164 million in net inflows on November 24, according to SoSoValue data. This marked the second-largest single-day total since the funds began trading.

Grayscale’s GXRP led all issuers with $67.36 million after its launch. Franklin Templeton’s XRPZ followed with $62.59 million in first-day inflows.

The inflows represent the seventh consecutive day of positive flows for the XRP ETF products. Canary Capital’s XRPC fund has reached $306 million in total investments since starting on November 21.

Regulatory Approval Opens Market

The XRP ETF launches came almost five years after the US Securities and Exchange Commission filed a lawsuit against Ripple and its executives. The SEC dropped the case in March under new leadership and a new administration. The legal matter officially ended in August with a $125 million settlement.

Franklin Templeton’s XRP offering required SEC approval to begin trading on the NYSE Arca. The company previously created crypto products tied to Bitcoin and Ether.

Analyst Predictions for Future Growth

Crypto analyst Chad Steingraber compared current XRP ETF performance to early Bitcoin ETF activity. He noted that Bitcoin funds had multiple days with $1 billion in inflows several months after launch.

With 12 active XRP funds, Steingraber estimated a cumulative $1 billion day would require just over $83 million per fund. His projections suggest a five-day run of billion-dollar inflows could absorb more than 2.2 billion XRP from the market in under seven days.

Several more XRP ETFs are scheduled to launch soon. 21Shares received automatic approval from the SEC and will start trading on the Cboe BZX Exchange in the coming days. CoinShares updated its S-1 filing and has appeared on the DTCC platform ahead of its Nasdaq debut.

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