The current uncertainty in the cryptocurrency market isn’t necessarily good news for U.S. spot crypto ETFs. Despite this, the recently launched funds for Ripple’s XRP are racking up successes, to the point of outperforming Solana by a factor of 3 over the same period.
XRP ETFs are performing three times better than those tracking Solana’s SOL
After months of waiting, the U.S. SEC finally decided at the end of the year to approve the first spot crypto ETFs, in addition to those already in place for Bitcoin and Ethereum. This exclusive club now includes Solana’s SOL, Dogecoin (DOGE), and, more recently, Ripple’s XRP.
Bitwise’s BSOL fund quickly posted a launch described as the best of the year for the sector, but that was before the market opened up to Ripple’s XRP, whose very first ETF, launched by Canary Capital, would set records just a few weeks later.
This dominant position will be further strengthened by the arrival of other ETFs, to the point of posting the best results in terms of net inflows, with assets under management now estimated at over $920 million since their launch—three times better than Solana’s SOL over the same period, which saw $270 million.
Flows recorded in the XRP spot ETF market
The ETF boom will continue
A success for U.S. spot XRP ETFs that stands in contrast to the general trend in the crypto exchange-traded fund market, with spot SOL ETFs already recording their first net outflows since late November, while Bitcoin and Ethereum ETFs continue to see massive outflows over the past few weeks.
A complicated situation that is by no means critical, according to Bitwise Asset Management Director Katherine Dowling. Indeed, she believes that “the ETF boom will continue,” particularly for XRP and SOL, which are based on “promising fundamentals,” with the prospect of new launches that could drive prices higher.
All crypto projects are scrambling to get issuers to launch ETFs because this proves beneficial for their tokens by increasing demand and thus the price. More will follow.
Katherine Dowling
