XRP News Today: Kraken Adds XRP/ETH Margin Trading with 3x Leverage as XRP Falls 14% from Year-High

Kraken Pro, a U.S.-based cryptocurrency trading platform, has introduced XRP/ETH as a margin trading pair, enabling leveraged positions on the cross between Ripple’s native token and Ethereum. This update expands Kraken’s margin trading offerings, which now include over 230 markets, including XRP/EUR, XRP/BTC, and XRP/CAD pairs. Margin trading allows users to amplify exposure by borrowing funds against collateral, with leverage capped at 3x for XRP/ETH and up to 5x for most other pairs. For example, a user depositing 5 ETH could open a position of 15 ETH in XRP/ETH trading, though liquidity and volatility adjustments may influence leverage parameters [1].

The XRP/ETH pair’s addition reflects growing demand for XRP derivatives despite its ongoing legal challenges with U.S. regulators. XRP’s performance against ETH has fluctuated significantly: after reaching a year-to-date high of 0.0114 ETH in April, it has since declined by over 14% from its peak recorded on July 22. In the past week alone, ETH rose 1.9% while XRP fell 10.6%, underscoring ETH’s relative strength amid broader market dynamics [2]. Traders can now use margin trading to either long XRP or short the pair if they anticipate ETH outperforming XRP.

Kraken’s move aligns with broader industry developments, such as the CME Group’s launch of regulated XRP futures in July 2025, which aim to diversify institutional strategies in crypto markets [3]. However, XRP’s price remains volatile, having dropped 6% to $3.25 on July 25. Analysts suggest margin trading could stabilize XRP’s market profile by attracting sophisticated traders who employ risk-managed strategies, though the token’s performance remains tied to overall market sentiment. Both XRP and ETH have underperformed Bitcoin recently, with XRP’s weekly losses exceeding 12% [4].

The introduction of XRP margin trading also highlights competitive dynamics in crypto derivatives. While Kraken has expanded its offerings, platforms like Binance have focused on other tokens, such as USDS-margined perpetual contracts, without including XRP [5]. This competitive landscape underscores XRP’s role as a liquid asset despite regulatory uncertainties. Ripple’s advocacy for XRP’s utility in cross-border payments may benefit from increased trading volume via margin facilities, though its adoption hinges on macroeconomic conditions and regulatory clarity.

The regulatory environment remains a critical factor. Kraken’s margin trading operates under its own compliance framework, while the CME’s XRP futures are cleared through U.S. derivatives markets. No direct references to China-related regions are included in the provided sources, indicating a focus on U.S. and global institutional markets. Analysts note that the success of XRP margin trading will depend on factors like liquidity depth and macroeconomic trends, though no specific forecasts are cited in the available data [1].

Sources:

[1] Kraken. [New assets and pairs available for margin trading](https://blog.kraken.com/product/margin/new-assets-and-pairs-july-25)

[2] Crypto. [Ether, XRP Traders Book Bigger Losses Than Bitcoin as...](https://cryptoadventure.com/ether-xrp-traders-book-bigger-losses-than-bitcoin-as-crypto-bulls-see-630m-in-liquidations/)

[3] CME Group. [Cryptocurrencies](https://www.cmegroup.com/markets/cryptocurrencies.html)

[4] 99Bitcoins. [XRP Futures: Ripple Trading Guide for 2025](https://99bitcoins.com/guides-and-tutorials/trade-xrp-futures/)

[5] Binance. [New Cryptocurrency Listing](https://www.binance.com/en/support/announcement/list/48)