Pundit Examines XRP ETF Buzz Amid Valour and 21Shares XRP ETPs

Recently, the XRP community has been increasingly concerned about the coming of an XRP ETF, though Valour and 21Shares have existing XRP ETPs.

The momentum for an XRP ETF launch has increased, with the U.S. SEC approving spot ETFs for Ethereum and Bitcoin. As a result, XRP enthusiasts are eagerly advocating for a comparable investment product for XRP, expecting it to positively influence XRPs market price, similar to the effects seen with Ethereum and Bitcoin.

Observing the trend, prominent community figure Crypto Eri pondered the significance of discussions around the XRP ETF by pointing out that at least two substantial XRP-based investment products are available, both of which are issued by major entities and are asset-backed.

In particular, Eri cited the XRP exchange-traded products (ETPs) offered by 21Shares and Valour. Additionally, she referenced remarks from Yoshitaka Kitao, the chairman and president of SBI Holdings, who has indicated that a cryptocurrency ETF is on the horizon, with support from an American issuer. With these developments in mind, Eri contemplated what might still be lacking.

Valour and 21Shares XRP ETPs

Notably, Valour launched an XRP ETP on Swedens Nordic Growth Market (NGM) exchange early this year, commencing trading on February 21, 2024.

Conversely, the 21Shares XRP ETP (AXRP) debuted four years ago in April 2019 and currently boasts assets under management of $53,741,755. As of May 24, AXRP has a net asset value of $15.24 and a year-to-date return of negative 8.40%.

Notably, this XRP ETP claims to be fully backed by physical XRP and mirrors the performance of XRP. It provides investors with a straightforward, regulated, and secure method to invest in the token.

Investors can access AXRP through various financial institutions, including Easybank, finanzen.net Zero, Fineco, and more than ten additional banks and brokerages.

XRP ETPs and ETFs

Meanwhile, Eris spotlight on these existing XRP-based investment products has failed to quell the longing for XRP ETFs.

An X user responded by arguing that the products in question are not identical. The commenter stated that Eris claim of two existing XRP ETFs is inaccurate because the cited examples are ETPs, not ETFs.

Furthermore, the X user pointed out that Bitcoin ETPs existed prior to the introduction of Bitcoin ETFs, yet the latter attracted more significant attention.

Notably, Eris spotlight on the existing XRP ETPs relies on the fact that ETPs are a broad category that includes various investment products traded on exchanges, such as ETFs, ETNs, and ETCs.

Meanwhile, an ETF is a type of ETP that holds a collection of assets, including crypto. Their primary purpose is to track the performance of the assets they hold.