Brazil Introduces First XRP Exchange-Traded Fund (ETF); Speculation Arises Over Potential US Authorization
Unleashing XRP: Brazil Pioneers ETF, U.S. Struggles to Catch Up
Brazil is leading the charge in the crypto world, being the first nation to introduce an XRP ETF, providing investors a fresh avenue for diving into the cryptocurrency market.
** Hashdex Launches XRP Spot ETF on B3: Brazil's Biggest Exchange**
On April 25, Hashdex, an asset manager, listed the XRP spot ETF on Brazil's B3 stock exchange. The fund, with the ticker XRPH11, mimics XRP's price using the Nasdaq XRP Reference Price Index. TheSecurities and Exchange Commission of Brazil (CVM) had approved the ETF in February, and it finally launched this week.
The fund will invest 95% or more of its assets in XRP through various means, including futures contracts and securities based on the Nasdaq Reference Price Index. The fund management will be managed by Genial Investimentos, while Genial Bank SA will act as custodian.
** XRP ETF Fundamentals include 0.8% annual management cost**
Considering costs, instruments, and investors behind the new XRP ETF will pay 0.7% and an additional 0.1% to cover custodian fees, equaling a total of 0.8% expenses annually. Note that originating fees don’t apply to them.
Hashdex's recent launch marks their ninth cryptocurrency ETF on the B3 exchange. They already offer products tracking Bitcoin, Ethereum, and Solana, showcasing Brazil's growing affinity for crypto investments.
** US Still Biding Time: XRP ETF Absent Despite Rising Market Interest**
The launch puts pressure on the United States, where no spot XRP ETF exists despite XRP's creation by a US-based company. XRP ranks as the third-largest cryptocurrency excluding stablecoins with a reported market value of over $120 billion.
Ripple, the firm most associated with XRP, has recently made progress in resolving regulatory matters with the US Securities and Exchange Commission and the declared objective of the Trump administration to make America "the crypto capital of the world," fosters a more positive climate for crypto regulation in the US.
** US XRP ETF Applications Abound: Grayscale and Franklin Templeton among Filers**
A number of large asset managers like Grayscale and Franklin Templeton have filed requests for XRP spot ETFs in the US. Analysts estimate the probability of an XRP ETF approval in the US to be 73%.
While Brazil leads the way in such product launches, American regulators may feel the heat to accept such investment options catering to US investors hoping for exposure to XRP without direct ownership.
Hashdex's move signifies a milestone moment for the adoption of cryptocurrencies into mainstream financial markets, with Brazil positioning itself as one of the early adopters in the growing crypto ETF space.
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Editorial Process
Enrichment Data:
- The U.S. Securities and Exchange Commission (SEC) has approved the launch of three futures-based XRP ETFs from ProShares, which went effective on April 30, 2025. These include leveraged and inverse ETFs providing exposure to XRP futures prices rather than direct ownership of XRP tokens. This marks a notable milestone for XRP's integration into mainstream markets following Ripple’s favorable legal outcome with the SEC in March 2025 [3][4].
- However, no spot XRP ETFs, those that hold the actual XRP tokens, have been approved yet in the U.S. The SEC is still reviewing applications for spot XRP ETFs, including one from Franklin Templeton, with potential decisions expected around June 17, 2025 [1][5].
- Ripple’s CEO has expressed optimism, anticipating spot XRP ETF approval in the second half of 2025, which would occur well after Bitcoin and Ethereum spot ETFs were cleared [5].
- In contrast to the U.S., Brazil has already launched a spot XRP ETF through the asset manager Hashdex. This product offers investors direct exposure to XRP without the regulatory delays seen in the U.S. [5].
- Summary
| Feature | United States | Brazil ||-----------------------------|-----------------------------------|-------------------------|| Type of XRP ETF approved | Futures-based ETFs approved (ProShares) | Spot XRP ETF launched (Hashdex) || Spot XRP ETF status | Under SEC review; no approval yet | Approved and available || Anticipated spot ETF approval | Possibly second half of 2025 | Already launched || Regulatory environment | Cautious, with SEC oversight | More advanced in spot ETF approval |
- The recent launch of the XRP spot ETF in Brazil, managed by Hashdex on B3, is putting pressure on the United States, as no spot XRP ETF exists in the country despite the growing interest and market value of XRP.
- In the United States, large asset managers like Grayscale and Franklin Templeton have filed requests for XRP spot ETFs, with an estimated 73% probability of approval. This could allow US investors to gain exposure to XRP without direct ownership.
- While the U.S. Securities and Exchange Commission has approved three futures-based XRP ETFs from ProShares, no spot XRP ETFs (holding the actual XRP tokens) have been approved yet in the U.S. In contrast, Brazil has already launched a spot XRP ETF, illustrating a more advanced regulatory environment for such products.
