cryptoglobe.com
Ripple Labs CEO Brad Garlinghouse believes that a spot exchange-traded fund (ETF) for the company’s XRP cryptocurrency is bound to happen. In a conversation with Sonali Basak and Tim Stenovec on Bloomberg Television on 23 October 2024, Garlinghouse emphasized that institutional and retail interest in cryptocurrencies is on the rise, suggesting that XRP will follow in Bitcoin’s footsteps.
According to him, there’s now a clear indication that both asset managers and the broader market are considering the potential of XRP within a regulated investment vehicle. He observed that this move marks another significant development for XRP.
As Garlinghouse explained, the United States Securities and Exchange Commission (SEC) was initially hesitant to approve a spot Bitcoin ETF, but the eventual approval demonstrated substantial demand. He mentioned that spot Bitcoin ETFs had attracted approximately $17 billion since their launch in January 2024. “It’s very clearly demonstrating there is demand from institutions. There’s demand from retail to access this asset class,” he remarked, indicating that the interest isn’t limited to Bitcoin alone.
In Garlinghouse’s view, the introduction of spot Bitcoin ETFs is part of a broader trend that’s influencing the entire crypto market. The CEO said that an ETF for XRP isn’t a matter of if but when. He suggested that even ETFs with a diversified basket of cryptocurrencies—including five or six different assets—are in the pipeline, reinforcing the trajectory toward increased institutional involvement in the crypto sector.
While discussing the performance of existing crypto ETFs, Garlinghouse addressed comparisons between Bitcoin’s ETFs and others, like Ethereum’s. He acknowledged that Bitcoin’s dominance in the crypto market has translated to more significant flows into its ETFs, but he defended the performance of non-Bitcoin ETFs. “I would disagree that there’s not [interest]. I think the [Ethereum] ETFs have done exceptionally well,” he asserted, pointing to the comparable market dominance between Bitcoin and Ethereum.
Garlinghouse emphasized that although the newer ETFs may not yet match Bitcoin’s inflows, they are nonetheless performing well relative to their market presence. He drew attention to the enthusiasm and support for the XRP ecosystem, both domestically in the United States and internationally, and noted that this community continues to grow. “I do think it creates upward pressure on the prices for many different cryptos, including XRP,” he stated, predicting a positive impact on valuations as institutional participation expands.