XRP ETF Breakdown: United States vs. Brazil
United States:
- Futures-Based ETFs: The SEC has already given approval to a few XRP futures-based ETFs, like offerings from ProShares and Teucrium's XRP Futures Fund[5]. These allows investors to wager on XRP's price fluctuations, minus physically holding the asset.
- Expected Timeline: Ripple CEO, Brad Garlinghouse, envisions approval during the second half of 2025[5].
Brazil Introduces First XRP Exchange-Traded Fund (ETF); Speculation about Potential U.S. Approval
Current Approval Status: The SEC is yet to give the green light to a spot XRPETF, although there's growing optimism with bettors predicting an 80% chance of approval by 2025[1][2].
Brazil:
- Current Approval Status: Brazil has taken the initiative, launching its inaugural spot XRP ETF through Hashdex. This shows a more welcoming regulatory environment for XRP in Brazil compared to the U.S.[3][4].
Hashdex, an asset manager, debuted the XRP spot ETF on Brazil's B3 stock exchange on April 25, complete with the ticker symbol XRPH11[3]. The ETF follows XRP's price using the Nasdaq XRP Reference Price Index[3].
The Brazilian Securities and Exchange Commission (CVM) had approved the ETF in February[3], and it launched this week[3]. The fund invests at least 95% of its assets in XRP[3], primarily through futures contracts and other securities against the Nasdaq Reference Price Index[3].
Hashdex will market the fund as "Hashdex Nasdaq XRP Fund de Indices," but fund management responsibilities will belong to Genial Investimentos[3], whereas Genial Bank SA will act as custodian[3]. The fund imposes an annual management cost of 0.8%, including a 0.7% management fee and a 0.1% custodian fee[3].
This is Hashdex's ninth cryptocurrency ETF listed on the B3 exchange. The firm already manages equivalent products that track Bitcoin, Ethereum, and Solana[3], signaling Brazil's progressive attitude towards crypto investments.
On the contrary, despite XRP being developed by a U.S.-based company and ranking as the third-largest cryptocurrency (excluding stablecoins), with a reported market value surpassing $120 billion[5], the United States still lacks a spot XRP ETF[3].
However, Ripple has made strides in resolving regulatory matters with the US Securities and Exchange Commission, setting a more positive tone for crypto regulation in America[3]. Additionally, the Trump administration's declared ambition to create a crypto-friendly environment may further boost crypto approval prospects in the U.S.[3].
As momentum builds for crypto ETFs, Brazil is implementing itself as an early adopter in the global crypto scene.
Featured image from Unsplash, chart from TradingView
Editorial ProcessEnrichment Data:- Future XRP ETF Approval Odds: Polymarket bettors estimate an 80% likelihood of spot XRP ETF approval in the U.S. by the end of 2025[1][2].- President Trump's Crypto Policy: The Trump Administration aimed to position the U.S. as the "crypto capital of the world"[3].
- Despite the SEC's yet-to-be approval of a spot XRP ETF in the United States, there's growing optimism with bettors predicting an 80% chance of approval by 2025.
- In contrast, Brazil has already launched its inaugural spot XRP ETF through Hashdex, showing a more welcoming regulatory environment for XRP in Brazil compared to the U.S.
- Hashdex, an asset manager, debuted the XRP spot ETF on Brazil's B3 stock exchange, investing at least 95% of its assets in XRP, primarily through futures contracts and other securities.
- As the U.S. Securities and Exchange Commission still lacks a spot XRP ETF, Ripple has made strides in resolving regulatory matters, setting a more positive tone for crypto regulation in America.
- Brazil's progressive attitude towards crypto investments is evident through Hashdex's ninth cryptocurrency ETF listed on the B3 exchange, which tracks XRP alongside Bitcoin, Ethereum, and Solana.
