Simply put
- Canary Capital suggested that an XRP ETF may start trading this week.
- The Lex Osprey XRT Fund launched last month and is currently managing over $138 million in assets.
- Numerous fund managers are making applications for altcoin ETFs.
There’s a strong possibility that investors will have another chance to purchase shares in an XRP-focused exchange-traded fund (ETF) this week, thanks to Canary Capital’s regulatory submission for the fund to be listed on the Nasdaq exchange.
Based in Nashville, Tennessee, Canary Capital filed Form 8-A on Monday, a necessary step for companies registering securities on the U.S. stock exchange. The Canary XRP ETF is designed to track the spot price of XRP, the fourth-largest cryptocurrency by market cap.
“Canary filed 8A for the XRP ETF last night, indicating it could be launched tomorrow or Thursday, since today is a holiday,” an analyst noted. Eric Balchunas from Bloomberg mentioned on XPost, “The deal isn’t finalized, but everything is moving along as it should. Keep an eye on this.”
The fund will be the second option available to U.S. investors looking for exposure to an XRP-tracking ETF, coming on the heels of the Rex Osprey XRP ETF (XRPR), which debuted in September. That fund managed to attract $38 million on its first day, surpassing expectations, and has since grown its assets to over $138 million.
Sumit Roy, an analyst at etf.com, indicated that “Canary’s products could draw significant interest, given the strong appetite among investors for XRP-focused ETFs as seen with the successful launch of Bitwise’s Solana fund just two weeks ago.”
He also added, “While Solana may have a bit more popularity than XRP, the rapid growth of Bitwise’s Solana ETF to a $500 million fund shows there’s a real demand for these types of investment vehicles, potentially leading to inflows exceeding $100 million shortly.”
The Rex Osprey’s XRPR offers exposure to altcoins through a subsidiary registered in the Cayman Islands, which is wholly owned and managed by the fund.
Canary Capital’s existing offerings include Bitcoin and Ethereum ETFs, which launched last year, and currently manage about $139 billion and $21 billion in assets, respectively. This increase in crypto-friendly products has strengthened demand for additional funds focused on digital currencies. Currently, the SEC is considering more than 90 applications for funds based on individual cryptocurrencies, combinations of tokens, and various strategies.
According to CoinGecko, the price of XRP recently experienced a 6% decline within 24 hours, reaching $2.40 per coin, and it is now over 30% lower than its all-time high of $3.65 in July.
