XRP token rises by 10% per day amid ETF launch

The cryptocurrency XRP XRP $2.16 XRP 7.07% Market capitalization $125.83 billion VOL. 24 hours $0.36 billion has seen a 10% surge over the past 24 hours amid the expected launch of the first-ever exchange-traded fund (ETF) linked to it on the New York Stock Exchange. This jump was a marked contrast to the recent drop in XRP that occurred on Sunday, April 6. Compared to the major cryptocurrencies, including Bitcoin BTC $85,310.46 Bitcoin 2.79% Market capitalization $1.69 trillion VOL. 24 hours $1.9 billion (3.61%) and Ethereum ETH $1,628.08 Bridged Ether (StarkGate) 4.42% Market capitalization $0.14 billion VOL. 24 hours $0.86 billion (3.17%), XRP was the fastest-growing asset of the day.

XRP’s trading volume increased by 95% to $ 13.42 billion, making it the third most traded cryptocurrency after stablecoins. The market reacted to the announced launch of a new financial instrument, the Teucrium 2x Long Daily XRP ETF (XXRP), which will allow investors to gain double exposure to daily changes in the price of XRP.

The new fund is expected to appear on the NYSE Arca exchange, which is a division of the New York Stock Exchange. Its founder, Teucrium Investment Advisors, said that the instrument will be based on cash XRP futures traded on exchanges registered with the US Commodity Futures Trading Commission. The company warns investors about potential risks and urges them to carefully assess the feasibility of investments.

This ETF differs from the spot ETF products, which have been previously applied for by companies such as Grayscale, Canary Capital and 21Shares, but are still awaiting SEC approval. At the same time, Bloomberg’s leading analyst Eric Balchunas notes that the chances of approving spot ETFs on XRP are «quite high.»