The global landscape for cryptocurrency-based exchange-traded products continues to evolve, with significant attention on assets like XRP. Early market entries, such as Brazil’s pioneering spot XRP ETF, offer valuable insights into investor reception and the interplay between these novel instruments and the broader market dynamics.
Brazilian XRP ETF Faces Early Hurdles
The world’s first spot XRP exchange-traded fund (ETF), trading under the ticker XRPH11 on Brazil’s B3 stock exchange, has experienced a challenging debut. In its initial week, the ETF saw a decline of nearly 10%. By the close of trading on May 5th, the XRP HASH CI ETF was priced at R$19.30 (approximately $3.47), marking a 3.5% decrease for the day. Over the preceding five sessions, its value eroded by 8.70%, a downturn influenced by widespread volatility in the cryptocurrency market.
Despite a promising launch, the XRPH11 ETF has struggled to sustain upward momentum. This performance is attributed to selling pressure on XRP itself and the relatively limited depth of the Brazilian financial market. At the time of reporting, XRP was trading around $2.10, reflecting a decrease of over 4% in a 24-hour period and a weekly drop of 8.75%, closely mirroring the ETF’s trajectory. Market observers suggest that the ETF’s future performance will be critical to watch, particularly if XRP manages to reverse its current bearish trend or if a similar product gains approval in the United States.
US Regulatory Developments for XRP ETFs
In the United States, the regulatory path for XRP ETFs is also under scrutiny. The U.S. Securities and Exchange Commission (SEC) has deferred its decision on an XRP spot ETF proposal submitted by Franklin Templeton. The new deadline for this decision is set for June 17, 2025. This revised timeline is noteworthy as it aligns closely with legal proceedings between the SEC and Ripple. Specifically, the regulator is due to provide an update on its appeal against Ripple’s partial victory in 2023 just two days prior to this new ETF deadline. Some legal analysts speculate the SEC might aim to resolve the Ripple case before finalizing its stance on the spot XRP ETF.
The SEC is also reviewing other applications for spot XRP ETFs, with decisions anticipated around mid-October 2025. Despite the extended timelines, market sentiment, as indicated by prediction platforms like Polymarket, showed a 74% probability of a U.S. spot XRP ETF approval as of May 6th.
XRP Futures ETFs on the Horizon
While spot ETFs await definitive approval, the SEC has already given a green light to three XRP futures ETFs managed by ProShares. These were initially slated for launch on April 30th. However, ProShares has since clarified that the launch was postponed and is now tentatively scheduled for May 14th, contingent upon final SEC authorization.
Jason Walker, aka “Crypto Maverick,” is the energetic new member of cryptovista360.com. With a background in digital finance and a passion for blockchain, he makes complex crypto topics engaging and accessible. His mix of analysis and humor simplifies volatile market trends. Outside work, Jason explores tech, enjoys spontaneous road trips, and American cuisine. Crypto Maverick is ready to guide you through the ever-changing crypto landscape with insight and a smile.