XRP Depository Receipts: A New Gateway for Accredited Investors

XRP Depository Receipts Set to Launch for Accredited Investors

In a significant development, Fox Business journalist Eleanor Terrett has announced that XRP depository receipts (DRs) will soon be available for purchase by accredited investors. This initiative is being facilitated by Receipts Depository Corporation and DWP Capital, with the assets being held by Anchorage Digital Bank, a federally chartered institution regulated by the U.S. Office of the Comptroller of the Currency (OCC).

The introduction of XRP DRs represents an important milestone for investors seeking indirect exposure to XRP without purchasing the asset directly through a cryptocurrency exchange. These financial instruments function similarly to American Depository Receipts (ADRs), allowing investors to buy shares of foreign companies without directly trading on international stock exchanges. In this case, the XRP DRs enable institutional and accredited investors to gain exposure to XRP while maintaining a structure familiar to traditional finance (TradFi) participants.

This development is part of the ongoing integration of decentralized finance (DeFi) assets into conventional financial markets. By providing a bridge between TradFi and DeFi, these DRs allow investors to access digital assets in a manner that aligns with existing regulatory frameworks and investment structures.

A key component of this initiative is the involvement of Anchorage Digital Bank, which will serve as the custodian of the underlying XRP assets. Anchorage is a federally chartered digital asset bank regulated by the OCC, providing an additional layer of security and compliance oversight. This could make XRP DRs more appealing to institutions and accredited investors who prioritize regulatory compliance and secure custody solutions. By leveraging Anchorage’s custody services, the XRP DRs will be structured in a way that ensures the assets remain under the supervision of a federally regulated entity, aligning with the increasing demand for institutional-grade infrastructure in the digital asset space.

Terrett’s report highlights that XRP DRs share similarities with exchange-traded funds (ETFs), particularly in their ability to expose an asset without requiring direct ownership or exchange-based transactions. While they are not ETFs in a strict sense, their function as a structured financial product could attract investors who prefer traditional investment vehicles over direct cryptocurrency holdings.

Despite the introduction of new financial instruments and other recent positive developments in the XRP ecosystem, some market participants