Rex-Osprey XRPR ETF officially goes live in the United States. Unlike traditional spot ETF filings that remain stuck in SEC approval limbo, this fund takes a unique path by adopting a ’40 Act structure, giving it stronger regulatory backing and oversight.
Fox Business journalist Eleanor Terrett explained, “This structure makes XRPR even more significant than a standard spot ETF approval.”
XRPR ETF Under the Investment Company Act of 1940
The XRPR ETF is not just another crypto product. It is structured under the Investment Company Act of 1940, a framework that ensures stricter investor protections. These include independent oversight, detailed reporting requirements, and clear limits on leverage.
By combining real XRP holdings with cash, U.S. Treasuries, and derivatives, the fund maintains nearly 80% exposure to XRP while aligning with regulatory standards. This gives traditional banks and funds a way to access XRP without worrying about compliance hurdles.
ETF analyst Nate Geraci called the launch “a clever regulatory end-around,” adding that XRPR will serve as a litmus test for how much appetite investors truly have for direct spot XRP exposure.
SEC Approval and Spot XRP ETF Applications
The timing is critical. The SEC is still reviewing 11 pending spot XRP ETF applications, with decisions expected between October 18 and 25. Futures-based XRP ETFs have already attracted nearly $1 billion in assets, signaling strong institutional demand.
Fellow ETF analyst James Seyffart noted, “XRPR isn’t a fully pure spot fund. It will hold XRP directly, but also gain exposure by tapping into other spot XRP ETFs listed overseas.”
If XRPR proves successful under the ’40 Act framework, it could tip the scales toward broader spot ETF approvals next month.
XRP Price Reaction to XRPR ETF Launch
Surprisingly, XRP’s price has not surged on the news. On-chain data shows whales sold nearly 40 million XRP even as enthusiasm around the ETF spread. This cautious market tone reflects broader jitters ahead of the Federal Reserve’s September 17 FOMC meeting, where traders anticipate rate cuts but remain wary of risk assets.
Why XRPR ETF Matters Beyond XRP?
If successful, XRPR could serve as a template for future crypto ETFs, bridging the gap between innovation and regulation. That could open the door for similar products across other cryptocurrencies, creating a pathway for wider institutional adoption.
For now, XRPR’s launch proves that with the right structure, crypto ETFs can find approval—and Ripple investors are watching closely to see if this milestone accelerates the long-awaited arrival of spot XRP ETFs in October.
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FAQs
It’s a U.S.-listed exchange-traded fund offering 80% exposure to XRP, backed by Treasuries, cash, and derivatives under the ’40 Act regulatory framework.
Unlike spot ETF filings under the ’33 Act, XRPR uses the ’40 Act structure, which provides stricter investor protections and makes regulatory approval easier.
So far, XRP price has remained flat, as whales sold 40 million tokens. However, successful adoption could drive institutional demand in the future.
The SEC is expected to rule on 11 spot XRP ETF applications between October 18–25, 2025.
Yes. If successful, XRPR may serve as a template for regulated crypto ETFs across other major cryptocurrencies.
