Grayscale Investments has reintroduced its XRP Trust, giving accredited investors a new way to gain exposure to the cryptocurrency XRP, which powers the XRP Ledger. As the token continues to gain traction in cross-border payment solutions, Grayscale’s decision to relaunch this trust signals a growing appetite for institutional investment in XRP. Moreover, the move hints at the possibility of an XRP ETF, potentially expanding Grayscale’s suite of investment products.
Grayscale’s Strategic Expansion with XRP Trust
On September 15, Grayscale announced on its X platform that it had reopened private placements for 18 of its cryptocurrency trusts. Among them is the XRP Trust, alongside other major assets like Avalanche, NEAR Protocol, Bitcoin Cash, and Solana. This comes as part of Grayscale’s broader mission to expand investment opportunities for accredited investors, allowing them to participate in the burgeoning cryptocurrency market through a traditional investment model.
Grayscale’s trusts allow accredited investors to purchase shares at the net asset value (NAV) of the underlying cryptocurrency, bypassing the complexities of managing digital assets directly. By investing through the trust, institutional investors can enter the crypto space without needing to navigate wallets, exchanges, or private keys. However, there is a caveat: investors must hold their shares for a minimum of one year to comply with regulatory guidelines. The XRP Trust, along with eight other products, is currently in this private placement phase.
XRP Trust Sees Significant Growth
Since its relaunch, the XRP Trust has shown promising growth. As of September 18, the trust’s NAV per share rose to $11.49, a significant increase from its low of $10.31 on September 6. The trust now manages approximately $646.7 million in assets, with each share representing 19.98 XRP. This steady growth reflects increasing interest from institutional investors as Grayscale reopens subscriptions.
Notably, on September 17, the NAV per share reached a peak of $11.77 before settling at $11.49. According to analyst JackTheRippler, the XRP Trust has experienced an 11.44% increase over the past week, reinforcing the positive sentiment surrounding the asset. This momentum could further signal a broader institutional embrace of XRP, particularly as it gains recognition in the cross-border payments space.
Growing Interest in XRP and Market Sentiment
At press time, the price of XRP stands at $0.5897, with a 24-hour trading volume exceeding $1.3 billion. The cryptocurrency has seen a modest 0.81% rise in the last day, reflecting steady market interest. The growing institutional participation, exemplified by Grayscale’s trust reopening, underscores XRP’s evolving role in the digital payments sector.
With the launch of its U.S. XRP Trust, Grayscale is positioning itself for future opportunities, possibly an XRP ETF, as institutional demand for cryptocurrency products continues to surge. As XRP’s utility within the financial system strengthens, Grayscale’s move could pave the way for wider adoption among accredited investors looking to capitalize on the ever-changing cryptocurrency landscape.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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