Grayscale Launches First Ripple Trust Fund; XRP Price Up 8%

Grayscale, a leading digital asset management firm, is set to launch the first XRP trust fund in the United States. This move will provide the accredited investors direct exposure to XRP, the native cryptocurrency of the XRP ledger which enables the cross-border transactions for Ripple. It could also potentially lead to a future XRP Exchange Trading Fund (ETF), pending regulatory approval as per Wu Blockchain.

According to FOX Business, Grayscale will launch the first XRP trust fund in the United States. Grayscale has released a four-stage product life cycle plan for its XRP trust fund, and may seek regulatory approval to convert it into an ETF in the future. https://t.co/uG1DwNGAet

— Wu Blockchain (@WuBlockchain) September 12, 2024

Potential for Future XRP ETF

This XRP trust is said to be operated as a “closed-end” trust, which will be available only to qualified investors not to the general public. According to the report, the trust fund is a part of a four-stage product life-cycle plan, which includes the idea of converting the trust fund into an ETF in the future.

This launch is amidst the ongoing legal battle between Ripple and SEC, sparking excitement and curiosity within the community However, Grayscale remains optimistic about XRP’s potential in streamlining the cross-border payments.

The introduction of Grayscale XRP Trust is expected to increase the institutional investments in XRP, driving up its demand which will eventually lead to a price surge for XRP. Additionally, this move could also act as a bridge for other asset managers to launch similar products and expand investment opportunities.

Impact on Ripple

At press time XRP is trading at $0.5699 which is a massive 8.9% surge in the 24-hour chart. With all the impressive developments coming up in the XRP ecosystem the community is hyped about its potential with XRP price predictions going as far as $10,000 by 2030.

This development is going to boost Ripple’s growing popularity even more as this move validates its technology and XRP’s potential in cross-border payments. However, with ongoing regulatory uncertainty regarding XRP’s security might be a bump in the road where the adoption part is concerned.

With this launch, the investors will be closely observing the market trends and responses to see whether this will lead to increased acceptance in the crypto community or not.

Also Read: Ripple’s CEO Hints at XRP-Yen Stablecoin for Japanese Market