Grayscale XRP Trust Reopens to Institutional Investors, Driving Market Interest

• Grayscale XRP Trust reopens with $16.45M AUM offering regulated XRP exposure.
• XRP trades at $3.27 with $25.77B daily volume and $188.23B market capitalization.
• Ripple’s partial SEC win bolsters XRP’s regulatory confidence among investors.

Grayscale Investments, one of the leading digital asset management companies, has reopened the XRP Trust to accredited investors from January 17, 2024. This is anticipated to draw fresh institutional interest in XRP, a digital asset that mainly facilitates cross-border transactions through the Ripple Network.

XRP Trust: A Simplified Investment Avenue for Institutions

Grayscale XRP Trust is an open ended trust that is designed for accredited investors in order to provide them with the exposure to the asset that is regulated and free from the complications of direct cryptocurrency investment. The Trust tracks the market price of XRP, net of fees and expenses, which makes it easy for institutions to invest in the asset class.

In a comparison with the CoinDesk Ripple Price Index (XRX), the Trust charges a 2.50% management fee and has no performance fee. This structure allows investors to join the market at the most affordable rates while giving them the best entry point into the crypto market. As of January 16, 2025, the Trust had a net asset value (NAV) per share of $65.20 and assets under management of $16.45 million. In the past one year the Trust has generated a return of 300% due to rising optimism about the future of the cryptocurrency in the market.

Ripple’s Legal Developments and Market Growth

The reactivation of the Grayscale XRP Trust comes as Ripple Labs has recently made some legal gains in its legal tussle with the U.S. Securities and Exchange Commission. A 2023 federal ruling claimed that the asset is not a security when sold on exchanges, a view institutions have welcomed. However the ruling considered some of the institutional sales as unregistered securities transactions, giving some complexity to the jurisdiction.

The market capitalization of the cryptocurrency has also been on the rise. Currently, the asset is selling at $3.27 with a 24 hours trade volume standing at $25.77 billion and within the last 24 hours, it has risen by 7.01%. Its market capitalization is now at $188.23 billion, with a circulating supply of about 57.56 billion tokens.

Grayscale’s Trust belongs to the company’s multi-strategy approach to its products. Some of the recent additions include Lido DAO (LDO) Trust, Optimism (OP) Trust, and Aave Trust. These products serve different parts of the digital asset market, stressing Grayscale’s desire to offer investors access to Bitcoin and other digital assets.