XRP ETFs Edge Closer to $2 Billion as Institutions Overlook Volatility

Spot XRP exchange-traded funds (ETFs) in the US are nearing $2 billion in total assets under management, despite a recent price decline. On September 23, institutional investors bought large amounts of XRP, even as its price dropped by 5-6%. The sector saw net inflows of $18.04 million on that day, indicating strong interest from big players.

The Bitwise XRP ETF attracted $11.54 million in inflows and boosted its total assets to $649 million. Meanwhile, the Franklin XRP ETF saw $6.50 million in inflows and reported a cumulative AUM of $492 million. The combined AUM of the seven approved US spot XRP ETFs reached $1,797.93 million as of September 23.

The growth of assets is matched by substantial volumes of XRP being removed from circulation through ETF trading. A total of 1.141 billion XRP is currently held in custody to support ETF shares, representing just 1.1411% of the maximum supply. With daily ETF trading volumes reported at $63.13 million and cumulative net inflows reaching $1.748 billion, the infrastructure for spot XRP ETFs appears stable.

Given recent inflows, total managed assets for spot XRP ETFs are projected to surpass the $2 billion psychological threshold in October. This would further establish Wall Street's presence in the alternative digital asset market and highlight XRP's growing appeal among institutional players.