Canary Capital CEO Predicts $5B Inflows for XRP ETF, Expects to Surpass Ethereum

Canary Capital CEO Steven McClurg predicts $5B in XRP ETF inflows in the first month, surpassing Ethereum ETFs. XRP is the second most recognized cryptocurrency on Wall Street after Bitcoin, with Ethereum in third place despite higher market capitalization. McClurg expects the Federal Reserve to cut rates, boosting digital asset ETFs. The SEC will decide on an XRP ETF proposal by October 23.

Canary Capital CEO Steven McClurg has expressed optimism about the potential success of XRP ETFs, predicting they could attract $5 billion in inflows during their first month of launch. This projection is in contrast to the underwhelming performance of Ethereum ETFs, which saw net outflows of $483 million in July 2024 and $5.70 million in August 2024 [1].

McClurg attributes XRP's potential success to its popularity on Wall Street, where it ranks as the second most recognized cryptocurrency after Bitcoin. He also points to the vibrant XRP community and the token's clear use case in the payment industry as factors that could drive its ETF success. Additionally, he expects the Federal Reserve's upcoming rate cut to boost digital asset ETFs, including XRP ETFs [2].

The SEC is expected to decide on an XRP ETF proposal by October 23, with the chances of approval currently standing at 87% [1]. If approved, the XRP ETF could attract significant institutional investment, given the growing interest in XRP futures, which have reached $1 billion in open interest on the CME Group in under four months [2].

The rapid growth in XRP futures open interest reflects strong demand from institutional investors, who are increasingly using XRP for hedging and portfolio management purposes. This trend aligns with broader developments in the CME’s crypto derivatives suite, which now exceeds $30 billion in total notional open interest [2].

Despite the bullish momentum in derivatives, XRP's spot price remains below $3, trading at around $2.92 and down nearly 20% from its July peak of $3.65 [2]. However, large holders have been accumulating XRP during price dips, signaling a shift from retail-driven speculation to more strategic, long-term positioning by institutional players [2].

In conclusion, McClurg's prediction of $5 billion in XRP ETF inflows in the first month, if realized, would be a significant milestone for the cryptocurrency and digital asset ETFs more broadly. The confluence of institutional demand, regulatory progress, and practical utility positions XRP as a foundational element in the evolving digital infrastructure landscape [2].

References:
[1] https://thecryptobasic.com/2025/08/30/canary-capital-ceo-insists-xrp-etfs-will-do-5b-inflow-in-first-month-outperform-ethereum-etfs/
[2] https://www.ainvest.com/news/xrp-news-today-xrp-futures-hit-1-billion-open-interest-fastest-cme-2508-23/