XRP News Today: Institutions Fuel XRP ETF's $100M Surge Amid Derivatives Growth

The first U.S. spot XRP exchange-traded fund (ETF) has surpassed $100M AUM, marking a pivotal milestone for the cryptocurrency's institutional adoption. The REX-Osprey ETF (XRPR), launched in September 2025, achieved this threshold within a month of its debut, driven by robust inflows from both institutional and retail investors. Nearly 40% of the fund's AUM originates from major institutional players, including hedge funds and registered investment advisors, signaling growing confidence in XRP as a regulated asset class.

The ETF's success coincides with a surge in demand for XRP derivatives. CME Group, the world's largest derivatives exchange, reported that its XRP futures contracts have generated over $26.9 billion in notional volume since their May launch, with more than 567,000 contracts traded. The exchange recently expanded its offerings to include XRP options, further solidifying the token's integration into institutional markets. These products have attracted large-scale participation, with open interest reaching $1.4 billion for XRP futures alone.

XRP's price has also benefited from the momentum, rising 5.4% to $2.57 in the past 24 hours amid increased trading volumes. Analysts attribute this to a combination of ETF inflows, derivatives activity, and Ripple's recent regulatory advancements. The company's acquisition of Hidden Road (now Ripple Prime) and ongoing legal victories have bolstered XRP's utility in cross-border payments, reinforcing its appeal to institutional investors.

Despite the optimism, regulatory hurdles persist. The U.S. Securities and Exchange Commission (SEC) has delayed approvals for other spot XRP ETFs due to staffing reductions during the government shutdown. Pending applications from major issuers like Franklin Templeton remain in limbo, though industry experts anticipate swift approvals once operations resume. In the interim, the REX-Osprey ETF serves as a de facto benchmark for U.S. market demand, while Brazil's Hashdex Nasdaq XRP ETF (XRPH11) has amassed $52 million in AUM since its earlier launch.

The REX-Osprey ETF's structure distinguishes it from traditional crypto funds. Operating under the Investment Company Act of 1940, it avoids direct XRP holdings, instead using derivatives and diversified securities to track the token's performance. This approach appeals to risk-averse investors, offering compliance with regulatory standards while mitigating custody risks. Financial analysts note that such hybrid models could pave the way for broader adoption of crypto-linked products in traditional portfolios.

Meanwhile, Evernorth Holdings, a new treasury firm backed by Ripple veterans, plans to go public via a $1B merger, with proceeds earmarked for XRP acquisitions and liquidity provision. The firm's active treasury strategy—leveraging lending and DeFi protocols to generate yield—highlights XRP's evolving role as a productivity asset rather than a speculative one.

As XRP's ecosystem matures, institutional participation continues to accelerate. CME's data shows that XRP futures have attracted 150% year-over-year growth in institutional trading, with average daily volumes exceeding $213 million. This trend underscores a broader shift toward regulated crypto markets, as investors seek transparency and risk management tools absent in offshore platforms.