Bitwise CIO Reveals Why Institutional Investors Are Betting on XRP's Long-Term Survival
Bitwise Chief Investment Officer Matt Hougan has shed light on why institutional investors are flocking to Ripple's native token XRP. According to Hougan, two key reasons drive this appeal: confidence in XRP's long-term persistence and practical applications in real-world use cases.
Hougan notes that financial advisors are often skeptical about the crypto market, wondering if these assets will stick around in the future. However, XRP's 'enormous track record' and established background give investors confidence in its enduring presence.
Furthermore, XRP fits into familiar spaces like stablecoins, cross-currency transactions, and liquidity provision, making it an attractive option for advisors who follow these areas closely. News about Ripple's bank charter also garners attention from this community.
The Bitwise XRP fund has seen significant inflows, accumulating $677 million in cumulative assets under management, surpassing its competitors Franklin's ($501 million) and 21Shares' (-$21.15 million). The recent inflow of $76 million marked the best week for XRP ETFs in a month, extending their run to 11 consecutive weeks.
As XRP continues to attract institutional investment, its price has shown resilience, currently trading around $1.50 with a 2% gain over the past 24 hours and a nearly 8% increase across the last month. Despite being down 47% from its year-ago value and 59% below its all-time high of $3.65, XRP remains on track for a third consecutive monthly gain.