📈 What happened?
21Shares officially launched an XRP ETF (ticker: TOXR) that has already been approved for listing on the Cboe BZX Exchange in the United States.
This product offers investors a regulated, transparent, and accessible way to gain exposure to the price of XRP without having to buy it directly on crypto exchanges.
The ETF will track the performance of the price of XRP using a benchmark index (CME CF XRP-Dollar Reference Rate) and will have an annual fee of 0.3% paid regularly.
🪙 What does 'XRP ETF' mean?
An ETF (Exchange-Traded Fund) is a fund that trades on an exchange like a stock but allows investors to track the price of an underlying asset — in this case, the XRP token — without needing to own it directly. This facilitates institutional and traditional investors to participate through their usual brokerage accounts.
📊 Key details of the TOXR ETF
📍 The essentials of the product
ETF Name: 21Shares XRP ETF
Ticker: TOXR
Exchange: Cboe BZX Exchange (U.S.)
Annual fee for the investor: approximately 0.30%
Assets backed: physical XRP in secure custody
📌 Custody and creation of ETF
The ETF uses a model with multiple custodians (Coinbase Custody, Anchorage Digital Bank, BitGo) to ensure that the XRP in the fund is protected.
Additionally, the fund was “seeded” (i.e., started with a reserve of assets) with 100 million XRP contributed by Ripple Markets, valued at approximately $226 million USD to provide initial liquidity to the product.
🧠 Why is this news important?
🌐 Greater regulated access for XRP
This ETF marks another step in the integration of XRP into the regulated traditional financial system, similar to what has been done with Bitcoin and Ethereum. Having an ETF makes it easier for large investors, pension funds, or traditional brokers to access this asset in a familiar way.
📈 Expansion of crypto products
The launch of TOXR occurs in a context where multiple XRP ETFs are emerging in the U.S., with other issuers also listing similar products — indicating an expansion of the crypto ETF market beyond BTC and ETH.
🏦 Sign of regulatory maturity
The approval and listing of the ETF under clear rules for trading on the stock exchange indicates that the regulation of crypto products in the U.S. is advancing, sending positive signals to institutional investors looking for more robust legal frameworks.
📉 What impact could it have on XRP and the market?
🔹 Institutional access: with ETFs, institutional capital flows could enter more easily — and that could increase demand in the market.
🔹 Price of XRP: while there is no guarantee of an automatic rally, ETFs often create additional structural demand, as they can absorb physical XRP to back the shares.
🔹 Liquidity: the presence of an ETF usually improves the liquidity available for the underlying asset in traditional and crypto markets.
