The world's first spot XRP ETF, XRPH11, issued by Hashdex and listed on Brazil's B3 stock exchange, has demonstrated a decline of more than 20% in its initial trading days.
Drop of XRPH11
After its launch, XRPH11 closed trading on June 13 at 18.65 BRL (approximately $3.37), marking a 6.33% one-day decline. The fund has dropped 20.6% over the last month despite the initial excitement seen in late April.
Local Market Limitations
Analysts believe XRPH11’s limited impact is partly due to Brazil's lesser liquidity and lower institutional participation compared to larger economies like the U.S. XRP’s weak performance has also hindered investor interest.
U.S. Regulatory Outlook
Market attention is gradually shifting towards the U.S., where the Securities and Exchange Commission is expected to make a decision on pending spot XRP ETF applications from Franklin Templeton and WisdomTree. The outcomes of these rulings could affect XRP prices and interest in related products, including XRPH11.
The steep decline in XRPH11’s value underscores the challenges of launching crypto ETFs in emerging markets. Real momentum may depend on regulatory clarity and broader global participation.
