Morgan Stanley Exposes XRP Holdings Amid Token's Prolonged Downturn

Morgan Stanley has revealed its exposure to XRP through three exchange-traded funds (ETFs) in its second-quarter 13F filing. The bank reported 6,715 shares of the Franklin XRP ETF, making it its largest XRP-linked position, alongside 255 shares of the Rex-Osprey XRP ETF and 67 shares of the Bitwise XRP ETF.

The holdings provide Morgan Stanley with regulated exposure to the token without requiring the firm to directly own or custody the digital asset. This is not an isolated case, as other institutions such as Wolverine Asset Management and National Bank of Canada have also disclosed their XRP ETF positions.

The U.S. spot XRP ETF market held approximately $942.25 million in combined net assets as of August 13, with cumulative inflows reaching around $1.51 billion. Despite this institutional accumulation, the token has struggled to hold its value, shedding more than 10% over the past week and nearly 70% over the past year.