- Multi-billion dollar firm adds XRP to portfolio with Bitcoin, Ethereum.
- Grayscale, CoinShares, and Bitwise have shown interest in an XRP exchange-traded fund.
Ryan Rasmussen, Head of Research at Bitwise, acknowledged a growing interest among institutional investors in XRP.
He noted that a multi-billion-dollar management team added Ripple [XRP] to its portfolio, alongside assets like Bitcoin’s[BTC], Ethereum [ETH], and Solana [SOL].
When asked about this shift among institutions, he said,
“XRP has strong brand recognition. It has been around for a decade and survived multiple boom/bust cycles. It has also done a good job marketing to institutions.”
Well-known institutions, including SBI Shinsei Bank, announced a partnership with Ripple—the company behind XRP—to facilitate cross-border remittances. This adds to the growing institutional adoption.
AMBCrypto noted that with interest in the altcoin and its technology gaining traction, it could stand a good chance of competing with established tokens like Bitcoin and Ethereum.
XRP could join the top leagues of assets
Bitcoin and Ethereum remain the most institutionally adopted cryptocurrencies, thanks to the approval of spot exchange-traded funds (ETFs) in the U.S.
These approvals have opened up institutional investment in both assets. Since their inception, spot BTC ETFs have reached a total AUM of over $122 billion, while spot ETH ETFs have reached $10.21 billion.
With heightened interest in XRP among institutional investors, the asset could potentially benefit from similar trends.
Source: Coinglass
The altcoin has recently gained attention due to its strong market performance.
According to recent reports, XRP’s ledger has had only about two hours of downtime after facilitating transactions for over 110,000 hours since 2012, indicating 99.99% efficiency.
Such performance shows strong growth potential for the coin. Recently, it reached $3.40 on the 13th of January, attempting to surpass its all-time high of $3.84 set in 2018.
Green light ahead for XRP with ETFs on the horizon
There’s potential for an XRP ETF launch, marking a significant step toward institutional and regulated adoption of the asset.
Grayscale is leading the charge, filing to convert its XRP Trust into an XRP ETF, which would be listed on the New York Stock Exchange.
Alongside Grayscale, other institutions, including CoinShares and Bitwise, have also filed for XRP ETFs.
If approved, this could trigger a price rally for the coin as more institutional funds flow into the asset, potentially surpassing a billion dollars in AUM within months, mirroring Bitcoin and Ethereum’s ETF success.
The current bullish wave is catching up with XRP, with daily gains exceeding 20%. However, the rally isn’t fully confirmed yet.
AMBCrypto’s recent analysis highlighted threats of a short-term decline due to several economic factors, including ongoing discussions about U.S.-China tariffs.
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