XRP News Today: CoinShares Abandons XRP ETFs, Shifts to Hybrid Strategies as Market Saturation Intensifies

CoinShares has abandoned its plans for XRP, Solana, and Litecoin ETFs, pivoting to a broader strategy aimed at diversifying crypto exposure for investors. The firm announced it will develop products such as crypto-equity baskets and actively managed strategies blending digital and traditional assets, signaling a shift away from direct token ownership. This decision follows a surge in competition for XRP ETFs in the U.S., where funds from Grayscale, Bitwise, and Canary Capital have collectively attracted over $870 million in assets this year. CoinShares' move underscores a recognition that the market is becoming saturated, with shrinking profit margins prompting a focus on differentiation rather than direct competition.

The XRP ETF landscape has rapidly expanded, with multiple launches in late 2025. Grayscale's GXRP ETF debuted alongside its DOGE ETF on November 24, joining products from Franklin Templeton, Bitwise, and 21Shares. Canary Capital's XRP ETF, the first to launch in November, drew $250 million in assets on its opening day, marking the largest crypto ETF debut of 2025. Analysts like Lacie Zhang of Bitget Wallet predict XRP could rise 22% to $2.50, driven by ETF inflows and stablecoin demand. However, XRP's price remains down 40% from its July peak, trading at $2.07 despite the influx of new funds.

The growing ETF pipeline has also intensified scrutiny of market dynamics. With seven XRP ETFs expected to launch by year-end, including WisdomTree and CoinShares' upcoming offerings, daily trading volumes could reach $75–80 million. This surge has coincided with a decline in XRP's exchange reserves, as Binance's holdings dropped to 2.7 billion tokens by late November. Analysts suggest that ETFs could absorb up to 4.8 billion XRP annually, potentially creating a supply shock within months if inflows persist. Meanwhile, broader market conditions have pressured ETF performance, with Bitcoin ETFs recording $548 million in outflows on November 20, and BlackRock's iShares Bitcoin Trust seeing $355 million in withdrawals.

Industry experts highlight both opportunities and risks. While ETFs are seen as a "cleaner on-ramp" for institutional investors, reducing custody friction and expanding liquidity, the competitive landscape remains fragmented. Steven McClurg of Canary Capital predicted $5 billion in XRP ETF inflows during the first months of trading, but early data shows mixed results. Grayscale's DOGE ETF, for example, is expected to generate $11 million in first-day volume, though broader crypto weakness may temper enthusiasm. The SEC's relaxed approval process has accelerated product launches but has not offset the market's volatility, with XRP falling 18% since November's start despite multiple ETF introductions.

CoinShares' strategic pivot reflects a broader industry recalibration. By focusing on thematic crypto baskets and hybrid strategies, the firm aims to cater to investors seeking diversified exposure without direct token ownership. This approach aligns with the growing demand for products that blend crypto and traditional assets, a trend analysts say could stabilize risk profiles in an otherwise volatile market. As the XRP ETF race intensifies, the ability to differentiate through fee structures, liquidity, and institutional partnerships will likely determine which funds capture a significant share of the market.