Institutions Flock to XRP as Exchange Supply Hits Multi-Year Low

Large financial institutions are increasing their exposure to XRP through investment products as the token's supply on cryptocurrency exchanges continues to decline. At the same time, Ripple is expanding its payment infrastructure and preparing major upgrades to the XRP Ledger aimed at institutional users.

Intesa Sanpaolo, Italy's largest bank, has disclosed ownership of 712,000 shares of the Grayscale XRP Trust in its latest SEC Form 13F filing. Based on current market prices, the investment is worth around $18 million. The filing also shows the bank holds nearly $235 million in crypto-related investments, with XRP representing about 6% to 7% of its digital asset portfolio.

Several financial firms, including Goldman Sachs, Morgan Stanley, Millennium, and Citadel, have reported XRP exposure through exchange-traded products. Many institutions prefer XRP ETFs instead of directly holding XRP because ETFs simplify custody, compliance, accounting, and regulatory requirements.