Ripple CTO Claims Coinbase Sought Millions Before Agreeing to List XRP

Ripple's Chief Technology Officer recently claimed that Coinbase sought millions of dollars in payments before agreeing to list XRP on its platform. The revelation highlights ongoing tensions between major crypto exchanges and XRP's parent company. The CTO did not specify the exact amount requested, but the claim has sparked renewed debate over the fairness of crypto market access.

Despite this, institutional demand for XRP remains notable. A survey of 351 institutional investors conducted by Coinbase and EY-Parthenon found that 18% were already allocated to XRP, while 25% planned to add it in 2026. Regulatory clarity, especially the CLARITY Act, is seen as a major driver for institutional interest.

However, actual capital flows have not kept pace with this interest. XRP ETFs, which initially saw $1.2 billion in inflows, have recently shifted to outflows. Data from SoSoValue and CoinShares show $28 million and $130 million in net outflows in March 2026, respectively.

What Are the Implications for XRP's Price and Market Position?

The disconnect between institutional interest and actual capital flows has kept XRP's price under $1.50, despite growing adoption. Ripple's expansion into custody solutions, stablecoins, and treasury tools has strengthened its institutional profile, but market reactions have been muted. Analysts suggest that while the CLARITY Act could boost institutional purchases, it may not be enough to push the price higher without broader market confidence.

The role of regulatory developments cannot be understated. Institutional investors are closely watching how the CLARITY Act and other legislative efforts shape the crypto landscape. Clearer regulations could reduce compliance costs and open the door for larger institutional allocations.

How Is Institutional Demand Shifting in March 2026?

March 2026 marked a turning point for XRP ETFs, which experienced a reversal from inflows to outflows. This shift indicates that initial enthusiasm may not be sufficient to maintain institutional demand. Retail investors, who make up 84% of XRP ETF assets, continue to drive much of the market activity. This suggests that institutional investors may still be cautious about large-scale allocations.

Goldman Sachs remains one of the most prominent institutional holders, with over $153.8 million in XRP ETFs. Yet, this amount represents only a fraction of total XRP ETF assets. Analysts are closely watching whether new regulatory developments or market dynamics will reignite institutional demand.

What Role Do ETFs Play in XRP's Institutional Adoption?

XRP ETFs are playing a key role in institutional adoption. They provide a familiar, regulated vehicle for institutional investors to gain exposure to XRP without the complexities of direct ownership. However, the recent outflows suggest that ETFs may not be the sole driver of long-term institutional interest. Institutional investors appear to be waiting for clearer signals before making larger commitments.

Despite the slowdown in ETF inflows, Ripple's broader institutional outreach continues. Efforts in custody services, stablecoin infrastructure, and treasury management tools are designed to attract long-term institutional clients. These services address key concerns around security and compliance, making XRP more attractive to large investors.