Grayscale launches first XRP trust fund, paving the way for ETF?
Grayscale will reportedly launch the first US XRP trust to pave the way for potential ETFs. Grayscale announced that it will launch the first Ripple (XRP) trust fund in the United States, a so-called "closed-end" fund that will provide qualified investors with direct investment opportunities in XRP. This is another currency with Grayscale's blessing after SUI!
This is big news for XRP, and even the crypto field. As a giant in the industry, Grayscale's launch of the XRP trust fund will undoubtedly bring more attention to XRP. Does it mean that XRP is gaining more institutional recognition? Yes, this move also paves the way for potential ETFs.
However, trusts and ETFs are two different products, which means that ETFs need to be approved by the SEC, while the structure of trusts and sales promotions to so-called qualified investors are less regulated. Even so, trusts can become ETFs as long as they obtain proper regulatory approval.
According to the news, Grayscale XRP Trust has a management fee of 2.5% and an asset management scale of nearly 250,000 US dollars. At the time of the news, 50 million transactions were reported, and the price of XRP continued to rise by ten points. The short-term increase was close to 15%.
However, old investors all know that XRP is too old to be used for speculation. The project is dead, with a market value of 30 billion US dollars and an annual revenue of 500,000 US dollars. Liquidity depends entirely on market makers. Will this news bring vitality to the dying xrp?
