Spot XRP ETFs plunge 96% quarter-over-quarter in Q1 2026

The United States-based spot XRP exchange-traded funds (ETFs) have registered a sharp decline in quarter-over-quarter (QoQ) inflows.

With the spot XRP ETFs having opened on April 1 with total net assets of $943.73 million, these market-traded funds saw a QoQ drop in inflows of 96.4%, according to data from SoSoValue. Over the past three months, this basket of securities posted a net cash inflow of $42.52 million, a major decline from the $1.166 billion recorded in Q4 2025.

During the first three months of 2026, the Canary XRP ETF (XRPC) was the top performer, posting a net inflow of $37.46 million and reaching $264.55 million in net assets by the end of Q1. By contrast, the 21Shares XRP ETF (TOXR) experienced the largest outflow, recording a net outflow of approximately $53.2 million and reducing its net assets to $141.96 million.

Why are inflows for spot XRP ETFs declining?

The main reason spot XRP ETFs posted a significant QoQ decline in inflows was the altcoin’s poor performance, which reduced its appeal to institutional allocators. Over the past six months, XRP price has crashed by over 55% to trade around $1.36 at the time of reporting.

Meanwhile, the initial enthusiasm of institutional investors for spot XRP ETFs, led by Goldman Sachs Group, had faded by the end of March, possibly due to the delay in the Clarity Act, a legislative proposal to legalize cryptocurrencies in the United States.

What’s next for this altcoin’s listed funds?

Ripple Labs CEO, Brad Garlinghouse, predicted last month that the odds for the passage of the Clarity Act in the U.S. Senate by the end of May are high. If confirmed, renewed regulatory clarity could catalyze a recovery in institutional demand for these index-tracking funds in Q2 2026.

However, if Congress fails to advance a digital asset regulatory framework in 2026 under President Donald Trump, net inflows into these pooled investment vehicles may continue to contract in the near term.