The conclusion of Ripple's legal dispute with the U.S. Securities and Exchange Commission (SEC) has become a key moment for increasing interest in XRP. This has opened the door for potential exchange-traded funds focused on XRP.
Strategic Advantages for XRP ETFs
Canary Capital CEO Steven McClurg outlined three primary factors that could give XRP ETFs an edge over Ethereum ETFs: yield dynamics, market leadership, and community engagement.
He explained that Ethereum’s staking rewards of 2–3 percent may deter crypto-native investors from choosing an ETF, as they can earn similar returns by holding ETH directly. XRP, which does not offer staking, presents no such trade-off for ETF investors.
McClurg emphasized XRP’s established position as the leading blockchain for cross-border payments, remittances, and institutional settlement.
Approval Odds Surge with Regulatory Clarity
The legal resolution has significantly boosted approval expectations. Prediction market Polymarket now rates the odds of a 2025 XRP ETF launch at over 88%, up from just 53% the previous week. Bloomberg analysts have placed those odds even higher, nearing 95%.
Futures-based XRP ETFs have already attracted over $1 billion in inflows, signaling growing institutional interest. Moreover, global interest in an XRP ETF has soared, with Google Trends data showing a 733% increase in search volume over the past month.
Launch Outlook and Pricing Approach
Canary Capital has already applied for an XRP ETF. McClurg expressed confidence that the product could debut before the end of 2025, with a possibility of an earlier launch. The firm intends to use an alternative pricing index instead of the CME benchmark to provide broader coverage of crypto-native markets.
With the legal dispute behind it, Ripple is positioned to advance without regulatory litigation concerns, paving the way for potential XRP ETF approvals and renewed institutional engagement.
