XRP News Today: 21Shares XRP ETF Fuels $900M Inflow as Institutional Demand Rises

The 21Shares XRP ETF (TOXR) has officially launched on Wall Street, marking a significant milestone in the growing integration of cryptocurrencies into traditional finance. The product was approved for listing by the Cboe BZX Exchange and is now available to investors seeking exposure to XRP, the fourth-largest cryptocurrency by market capitalization. The fund is designed to offer a liquid, transparent, and user-friendly alternative to direct crypto ownership, particularly for those without personal crypto wallets according to 21Shares.

The launch of TOXR follows a surge in institutional interest in XRP, with nearly $909 million in total assets under management (AUM) across the XRP ETP market. Over 400 million XRP tokens are currently locked in custody, reflecting strong institutional demand. 21Shares emphasized the strategic importance of this development in further embedding XRP into mainstream portfolios.

Regulatory clarity and recent legal developments have played a key role in the rapid growth of XRP investment vehicles. With the resolution of the SEC's long-standing lawsuit against Ripple, the asset has seen a surge in institutional adoption. This legal resolution removed a major barrier to real-world applications and partnerships, allowing XRP to compete on a more level playing field in the financial markets according to Bitwise CIO. The regulatory environment now appears more favorable, encouraging firms like 21Shares, Grayscale, Bitwise, and Franklin Templeton to roll out spot XRP ETFs.

How Markets Reacted

Market participants are closely watching the performance of XRP ETFs, particularly as they continue to attract significant inflows. As of mid-December 2025, XRP spot ETFs have recorded nearly $900 million in total net inflows, with several funds managing hundreds of millions of dollars each. This growth reflects a broader trend of investors seeking regulated, accessible ways to gain exposure to digital assets according to Cryptotimes.

XRP's price has seen mixed performance in the wake of the ETF launches. At the time of writing, XRP was trading near $2.02, down 2.24% in the last 24 hours. Despite the recent dip, the token remains one of the most actively traded cryptocurrencies, with a market cap of $122.05 billion. Analysts are closely watching how the ETF inflows interact with price movements, especially as the token trades near key support levels.

What Analysts Are Watching

Experts are also monitoring how the introduction of XRP ETFs impacts the overall supply dynamics of the asset. With over 400 million XRP tokens currently held in ETF custody, the liquid supply of the asset is tightening. This has led to speculation that further ETF inflows could provide long-term price support for XRP. Federico Brokate, global head of business development at 21Shares has highlighted the importance of this product in giving investors direct exposure to XRP and the broader Ripple ecosystem.

The technical outlook for XRP is similarly under scrutiny. The token remains within a large symmetrical triangle pattern that has been forming since July. If it continues to trade above the $1.94 support level, analysts expect a potential move toward the $2.10 to $2.28 range. A breakout above $2.35 could signal a stronger bullish momentum, with targets near $2.9 to $3.00 becoming more relevant.

What This Means for Investors

For investors, the launch of the 21Shares XRP ETF represents a new, regulated avenue to access the XRP market. Unlike traditional crypto investments, ETFs offer a more familiar structure for those accustomed to traditional financial instruments. The TOXR ETF trades on Cboe BZX Exchange and charges an annual fee of 0.3%, making it one of the more cost-competitive options in the market.

Investors are also looking to these funds as a way to hedge against the volatility of direct crypto ownership. By holding ETF shares through traditional brokerage accounts, investors can avoid the complexities of crypto wallets and custodianship while still gaining exposure to XRP. This is particularly appealing to institutional investors who require compliance-ready structures according to Cryptonewsland.

The growing popularity of XRP ETFs is also being supported by the broader adoption of Ripple's technology. The XRP Ledger (XRPL) continues to evolve, with recent innovations such as the RLUSD stablecoin attracting attention. These developments are seen as fundamental drivers of XRP's long-term value proposition according to Cryptotimes. As more regulated products enter the market, the bridge between traditional finance and crypto continues to strengthen, offering investors a growing list of tools to engage with digital assets.