The product, launched by Rex-Osprey under the ticker XRPR, introduces a structure that blends traditional finance safeguards with direct exposure to Ripple’s token.
Instead of following the same path as pending spot ETF proposals from large issuers like Grayscale and 21Shares, Rex-Osprey took a different approach. XRPR is wrapped under the Investment Company Act of 1940, which lets the fund hold a mix of XRP, cash, Treasuries, and derivatives. Roughly four-fifths of the portfolio will still be XRP, but the additional instruments give the fund a level of oversight regulators are more comfortable with.
Eleanor Terret, a journalist following the case closely, called this “a more disciplined design” than traditional spot products, while Nate Geraci of NovaDius Wealth Management described it as a “litmus test” for how much appetite really exists for a pure spot XRP vehicle. He pointed out that futures-based XRP ETFs are already approaching $1 billion in assets.
XRPR’s launch comes just weeks before a crucial SEC deadline. Between October 18 and October 25, regulators are expected to rule on 11 pending spot XRP ETF applications. Each would hold only XRP, unlike Rex-Osprey’s hybrid structure. A favorable decision could unlock institutional demand on a much larger scale.
Despite the significance of XRPR’s debut, XRP’s price hasn’t reacted strongly. Large holders recently sold around 40 million tokens, dragging on momentum. With traders also bracing for the Federal Reserve’s September rate meeting, broader market sentiment remains cautious even as optimism builds around ETFs.
For XRP supporters, the Rex-Osprey product represents more than a new investment tool. It’s proof that regulators can be convinced to allow crypto-backed funds under the right framework. If XRPR succeeds, it may set the precedent needed for fully fledged spot ETFs to finally win approval—potentially ushering in a new wave of capital for Ripple’s token.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
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