JPMorgan Chase, a leading global financial institution, has projected substantial inflows for a potential spot-based XRP exchange-traded fund (ETF). The bank estimates that an XRP ETF could attract assets ranging from $3 billion to $8 billion, drawing parallels to the successful launches of Bitcoin and Ethereum ETFs in 2024.
This projection is based on the performance of existing cryptocurrency ETFs. Currently, ETF assets constitute approximately 8% of Bitcoin’s total market capitalization, which stands at $1.81 trillion. While Ethereum ETFs have a lower penetration rate at around 3%, JPMorgan anticipates a similar level of success for Solana ETFs.
The potential launch of an XRP ETF could significantly impact the cryptocurrency market. JPMorgan’s optimistic forecast highlights the growing interest in cryptocurrency investments and the potential for ETFs to play a crucial role in expanding market access and liquidity for investors.