XRP ETF attracts $8.72 million in a single day; why are institutions continuing to increase their holdings?

Eastern Time January 8 — XRP spot ETF once again demonstrates strong capital attraction ability. According to the latest data, the total net inflow for the day reached $8.72 million, with Bitwise XRP ETF and Grayscale XRP ETF contributing $4.51 million and $2.89 million respectively. This has become the norm since the launch of XRP ETFs — ongoing capital inflows reflect a renewed institutional recognition of this asset.

XRP ETF’s Capital Attraction Performance

Daily Inflow Data

Yesterday’s XRP spot ETF inflow details are as follows:

As of press time, the total net asset value of XRP spot ETFs has reached $1.49 billion, a considerable scale among cryptocurrency spot ETFs. Notably, the cumulative net inflow since launch has reached $1.21 billion, indicating that market recognition of XRP continues to grow.

Market Background

Current XRP performance also confirms this trend. According to the latest data, XRP is priced at $2.13, with a 7-day increase of 13.03%, and a market cap of $12.907 billion, ranking 4th in the cryptocurrency market cap list. The 24-hour trading volume is $443 million, maintaining high market activity.

Factors Driving Institutional Accumulation

Legal Status Clarification

One key reason XRP attracts institutional investors is its clearly established legal status. According to recent reports, Ripple executives stated on January 7 that XRP has achieved a milestone by being confirmed as a non-security digital asset through a landmark court ruling in the US. This removes long-standing regulatory uncertainties that have troubled investors, allowing compliant financial institutions to participate with greater confidence.

Expansion of Use Cases

In addition to legal clarity, XRP’s application scenarios are expanding. According to relevant information, Ripple’s On-Demand Liquidity (ODL) payment layer processed over $15 billion in cross-border transactions in 2024, a 32% year-over-year increase. This indicates XRP is not just a speculative asset but also has real payment demand. Meanwhile, Flare announced on January 8 that it launched the first XRP spot market on Hyperliquid, further expanding XRP’s use in DeFi.

Accelerated Institutional Deployment

Participation from several well-known asset management firms is also a significant driver. Besides Bitwise and Grayscale, Franklin Templeton, Canary, and others have launched XRP spot ETF products. This “formation of a coalition” indicates that institutional investors have reached a consensus — XRP is worth including in investment portfolios.

Market Significance Reflection

The continuous capital inflow into XRP ETFs carries several noteworthy implications:

• Increased Institutional Recognition:** Transition from primarily retail investors to institutional participation marks a maturing crypto market.
• Market Scale Effect: The $1.49 billion total asset size already exerts market influence and may support XRP’s price.
• Ecosystem Maturation: The variety of ETF products (with multiple institutions competing) lowers entry barriers for investors.

Future Focus Points

Based on current information, key areas to monitor include:

• Whether XRP’s price can break previous highs (some reports mention peaks in 2025)
• Whether ETF capital inflows can continue steadily (some reports note occasional single-day outflows)
• After legal clarity, whether more mainstream financial institutions will launch related products

Summary

The XRP ETF’s daily net inflow of $8.72 million may seem like routine data, but it reflects growing market recognition of this asset. From legal status clarification and expanding use cases to large-scale institutional deployment, XRP is evolving from a purely speculative asset into a digital asset with real value. The ETF’s scale of $1.49 billion already has market influence, and ongoing capital inflows suggest that institutions remain optimistic about its future performance. However, whether prices can break previous highs and whether capital inflows can remain stable are key indicators to watch.