XRP News Today: XRP ETF's $58M Debut Defies Blockchain Critics' Utility Doubts

Matthew Sigel, director of research for digital assets at VanEck, has reignited debates over XRP's utility with a pointed critique of the altcoin's blockchain, stating he "may never understand what your 'blockchain' actually does" according to a recent statement. The remarks, posted on social media, have drawn sharp reactions from XRP supporters, who view the comments as dismissive of the project's technical and institutional progress. Sigel further questioned whether XRP has "real developer interest or meaningful applications," metrics often cited as indicators of a blockchain's viability.

The XRP community has pushed back, highlighting recent institutional adoption and regulatory clarity as signs of the asset's growing legitimacy. A new spot XRP ETF launched by Canary Capital on November 14 drew $58 million in day-one trading volume, marking the largest crypto ETF debut of 2025. The fund's success has been attributed to XRP's strong institutional following, with Ripple's partnerships—such as those with BlackRock and OntoFinance—positioning the token as a bridge between traditional finance and blockchain innovation according to market analysis.

Despite the ETF's strong start, XRP's price has slipped 5% in the past 24 hours, reflecting broader market volatility. Analysts note bearish momentum in technical indicators, with the RSI suggesting a prolonged downtrend. However, proponents argue that XRP's infrastructure, including its energy-efficient XRPLedger and interledger protocol, offers tangible advantages for cross-border payments and enterprise solutions according to technical experts.

Sigel's skepticism extends to XRP's economic mechanisms, which he argues lack clear ties between token price and project adoption. He contrasted XRP's progress with Bitcoin's institutional embrace, noting that 12 countries now mine Bitcoin with government support, while XRP's adoption remains "relatively modest" according to VanEck research. VanEck's decision not to file for an XRP ETF further aligns it with firms like Fidelity and BlackRock, which have also avoided XRP-focused products according to industry reports.

Meanwhile, new initiatives are emerging to bolster XRP's ecosystem. LCPC AI announced a blockchain contract program for XRP, leveraging AI-driven automation to enhance transparency and scalability according to company announcements. The program aims to address concerns over XRP's utility by integrating advanced computing frameworks with blockchain verification, a move that analysts say could attract further institutional interest according to market analysts.

The debate underscores a broader divide between institutional analysts and crypto communities. While Sigel's comments have been criticized as "dismissive of years of development," XRP supporters emphasize the project's technical milestones and expanding use cases according to community feedback. Canary Capital's ETF success, coupled with regulatory progress in the U.S., suggests that XRP's appeal is resonating despite persistent skepticism from traditional financial players.