XRP exchange-traded funds (ETFs) have surged to astronomical levels, underscored by a flurry of issuers submitting applications to the US Securities and Exchange Commission (SEC). While several reasons account for the popularity of XRP ETFs, other cryptocurrencies are playing catch-up, given the uncertainty over their legal status.
XRP ETFs Pull Ahead Of Its Peers
As large institutional players wade into the cryptocurrency industry, a new frontier for investors is emerging beyond Bitcoin (BTC) and Ethereum (ETH). According to several experts, the strongest sign of the changing landscape is the rise in applications for a US spot XTP ETF by several asset managers.
Following the successes of BTC and ETH ETFs, some analysts believe that XRP ETFs could attract a notable market share. Following fresh regulatory clarity on XRP’s status and Ripple’s settlement with the SEC, asset managers have flooded the security watchdog with a barrage of applications.
The success of Canary Capital’s XRP ETF confirmed keen interest in the offering, with the fund recording the strongest first-day performance of all ETFs launched in 2025. Canary Capital’s XRP ETF performance revealed that investors are interested in exposure beyond Bitcoin and Ethereum ETFs.
At the moment, several spot XRP ETFs are in the works at the Deposit Trust and Clearing Corporation (DTCC), indicating an incoming mainstream acceptance in US markets. Traders are mulling over the prospects of billions of dollars in ETF inflows and the effect on XRP price, with one analyst tipping the asset to soar to as high as $47.
Other Cryptocurrencies Are Playing Catch-up
While crypto ETFs have exploded in recent months, other digital assets apart from BTC, ETH, and XRP are facing an uphill climb. The primary reason for the lack of volume in ETF applications revolves around structural and regulatory limitations, with the legal status of several tokens remaining unclear.
Furthermore, several tokens outside the top 10 by market capitalization lack the liquidity or daily trading volume to support an ETF. Meanwhile, strict custody and compliance requirements pose challenges for several cryptocurrencies eyeing an ETF launch.
However, Solana ETFs have gathered significant steam in recent months with several issuers recording varying degrees of success. Meanwhile, chatter around Cardano, Dogecoin, and Injective ETFs has grown louder as ecosystem players turn to XRP to provide a model for future altcoin ETFs.
Source: https://zycrypto.com/xrp-etf-applications-are-surging-over-other-cryptocurrencies-heres-why/
