Influenced by Franklin Templeton’s zero-expense appeal, XRP ETF capital influxes are expected to attain a threshold of $2 billion, it was noted.
XRP is spearheading the competition for altcoin dominance within the U.S. crypto exchange-traded fund ETF market, owing to its exceptional performance since the previous month, it was reported.
Across fewer than 10 trading sessions, the fresh cohort of U.S. spot XRP ETFs has accumulated total capital inflows of approximately $587 million, contrasting with the nearly $568 million that was recorded for their Solana analogues, it was observed.
This rapid increase in capital upends the sector’s ranking, positioning XRP as the foremost option for risk tolerance concerning assets other than Bitcoin and Ethereum in a marketplace that is largely characterized by capital flight and protective strategies, it was reported.
Comparing Solana and XRP ETFs
The initial tempo in the sector was established by Solana ETFs, it was noted.
Since their introduction on October 28, U.S. spot Solana ETFs documented 20 successive days where net capital was amassed, amounting to roughly $568 million. This accumulation assisted in propelling the funds’ total holdings to $840 million, a value representing approximately 1% of the token’s market valuation, it was reported.
Conversely, XRP has consolidated that growth path into a highly expedited timeframe, it was observed.
As of November 21, U.S. spot XRP financial instruments had already accrued $423 million. Nonetheless, the November 24 arrival of prominent firms Grayscale and Franklin Templeton incited a substantial capital infusion, with roughly $164 million in net creations being added during a solitary session, it was reported.
This action elevates the XRP sector’s aggregated sum to approximately $587 million, a figure which was achieved by exceeding Solana’s monthly intake in nearly half the duration, it was noted.
Judged by capital expenditure intensity, XRP is presently incorporating institutional funds at nearly twice the rate per day of its competitor, it was observed.
The Race Toward Zero
The pace of the reversal is being propelled by a structural competition to minimize costs, it was noted.
Franklin Templeton has implemented the most competitive fee standard within the crypto ETF arena. Its XRPZ fund entails a 0.19% manager commission, which is entirely relinquished on the initial $5 billion in holdings until May 31, 2026, it was reported.
For institutional capital deployers and standardized portfolios, where minute friction in basis points influences asset choice, XRPZ practically becomes a zero-expense carry trade for the subsequent six months, it was observed.
Grayscale’s GXRP has assumed a comparable stance, with its standard charges being relinquished for the initial three months, it was reported.
This intense subsidization by the issuers coincided with maximum client interest. The $164 million spike on November 24 indicates that a substantial segment of assets was held back, specifically awaiting the commencement of these inexpensive, recognized-brand structures before being invested, it was noted.
Although Solana ETFs similarly employed fee suspensions for vehicles such as Bitwise’s BSOL, the immense scope of Franklin’s $5 billion limit seems to have immediately initiated a greater echelon of institutional investment flow upon the product’s debut, it was reported.
Momentum Versus Market Gravity
Although Solana ETFs similarly employed fee concessions for products such as Bitwise’s BSOL, the immense scope of Franklin’s $5 billion ceiling seems to have instantaneously triggered a greater degree of institutional capital movement upon the debut, it was reported.
Solana’s $510 million in capital influx was received concurrently with a 30% price adjustment from its recent peaks. In this environment, ETF transactions have served as a mitigating force, absorbing selling momentum from existing proprietors yet failing to overturn the prevailing trajectory, it was reported.
Fundamentally, this causes the SOL ETF’s results to be viewed as a protective capital gathering narrative, it was reported.
Conversely, XRP capital inflows are initiating an upward trajectory. The digital token had similarly undergone a price reduction of roughly 17% over the preceding 30 days but saw an increase of approximately 10% subsequent to the November 24 session, it was noted.
This action facilitated XRP’s surge past the $2 mark, with the token exchanging hands at elevations reaching $2.27. On-chain metrics from Glassnode indicate this price area as a “major psychological zone,” a region where original investors generally liquidate holdings to recover deficits incurred since early 2025, it was reported.
In earlier market cycles, this supply barrier previously hindered surges. Currently, the ETF purchasing pressure is altering the valuation factors. With investment vehicles acquiring $50 million to $100 million on a daily basis, the ETFs are generating a non-price-sensitive demand pool capable of consuming the existing inventory, it was reported.
In contrast to Solana, where capital movements are struggling against downward pressure, XRP inflows are functioning as an offensive weapon, converting a long-standing resistance barrier into a purchase base, it was observed.
The Road to $2 Billion
Given that four issuers are now operational and the $500 million benchmark was surpassed in less than 15 trading periods, market analysts are adjusting their year-end forecasts, it was reported.
The present rate of expansion establishes XRP on a path that exceeds numerous projections formulated by analysts for assets other than Bitcoin, it was noted.
Assuming the current pattern endures, which is defined by daily capital inflows stabilizing in the $40 million to $60 million bracket subsequent to the launch enthusiasm, the collective investment vehicle is poised to contest the $1.5 billion level before the close of the year, it was noted.
Nonetheless, an optimistic market possibility is becoming apparent, it was stated.
Should the expense suspensions from Franklin Templeton effectively engage registered investment advisors RIAs and the transfer away from underperforming holdings persists, the entire asset structure could plausibly approach $2 billion in assets under management AUM before the final records are finalized in 2025, it was noted.
