XRP News Today: XRP ETFs Surge While Token Plummets 32%: Investor Paradox

XRP-based exchange-traded funds (ETFs) have emerged as a standout performer in the crypto market, attracting $164 million in net inflows on November 24 alone, outpacing Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) funds. The surge came as Franklin Templeton's XRPZ and Grayscale's GXRP ETFs each recorded over $60 million in day-one inflows, defying a broader trend of redemptions in flagship crypto products. This performance underscores growing institutional and retail interest in altcoins, particularly XRP, which powers the XRP Ledger (XRPL) used for cross-border payments.

The XRP ETF category's success contrasts sharply with the struggles of Bitcoin and Ethereum funds. While BTC ETFs saw $151.1 million in outflows on the same day, XRP ETFs maintained a positive inflow streak since their launch, accumulating $586.8 million in cumulative net inflows. Solana ETFs, which had previously shown resilience, added $58 million to their 20-day inflow streak, but still lagged behind XRP's momentum. Analysts attribute the divergence to XRP's unique utility in global settlement infrastructure and its regulatory clarity following Ripple's August 2025 SEC settlement.

Franklin Templeton's XRPZ, launched on NYSE Arca, exemplifies the institutional push into altcoin exposure. Structured as a grantor trust holding actual XRP, the ETF tracks the CME CF XRP-Dollar Reference Rate and is custodied by Coinbase. The firm emphasized XRP's role in enabling "fast, low-cost cross-border payments" and its low energy consumption, positioning it as a foundational asset in digital portfolios. Similarly, Grayscale's GXRP, converted from a private trust, attracted $67.4 million in inflows, reflecting heightened demand for regulated access to XRP.

Despite the ETFs' gains, the underlying XRP token has faced headwinds, declining 32.5% in the past month and 10.9% in the last week. This dislocation highlights the complexity of crypto markets, where ETF inflows do not always correlate with token prices. However, proponents argue that the ETFs' success signals growing acceptance of XRP as a utility-driven asset rather than a speculative play. David Mann, Franklin Templeton's Head of ETF Product noted that XRP's "established utility in facilitating cross-currency settlement" has made it a central component of the digital payments ecosystem.

The XRP ETF boom also reflects broader shifts in the crypto investment landscape. With over 100 crypto ETFs expected to launch in the next six months, investors are increasingly seeking exposure to a diversified range of digital assets. This trend is supported by regulatory developments, such as the SEC's approval of spot ETFs for altcoins, which has opened new avenues for institutional participation. Meanwhile, competitors like Canary Capital and Bitwise have also entered the XRP ETF space, intensifying the race for market share in this nascent category.

As the market evolves, the performance of XRP ETFs will likely remain a key indicator of investor sentiment toward altcoins. Their ability to outperform BTC and ETH funds in a volatile market suggests a growing appetite for assets with clear use cases and regulatory clarity. However, risks persist, including market volatility, regulatory uncertainties, and the challenges of managing token-specific funds. For now, XRP's ETFs stand as a testament to the maturing crypto asset class and its potential to attract traditional investors seeking innovation in digital finance.