Fifth XRP Spot ETF on the Way After CBOE Approval of 21Shares Application

Why It Matters

The approval broadens compliant exposure to XRP, signaling strong institutional appetite and reinforcing the token’s role in mainstream finance. It also highlights growing regulator comfort with crypto‑linked ETFs, potentially accelerating further product launches.

Key Takeaways

• CBOE certifies 21Shares TOXR spot XRP ETF listing.
• Fund seeded with 100 million XRP (~$226 million).
• Sponsor fee set at 0.30% payable in XRP.
• Enables in‑kind or cash creation/redemption.
• XRP spot ETFs nearing $1 billion cumulative inflows.

Pulse Analysis

The U.S. securities market is witnessing a rapid expansion of cryptocurrency exchange‑traded products, and the latest milestone comes from Cboe BZX’s formal certification of 21Shares’ XRP spot ETF, ticker TOXR. As the fifth spot‑based XRP fund to clear an exchange’s listing standards, the approval underscores the regulator’s growing comfort with digital‑asset structures that meet disclosure and custody requirements. By anchoring the ETF to the CME CF XRP‑Dollar Reference Rate, the product offers investors a transparent price benchmark while sidestepping the operational complexities of holding the token directly.

The fund’s capital structure is bolstered by a $226 million seed from Ripple Markets, equivalent to 100 million XRP, which jump‑starts creation and redemption activity. Custody is split among Coinbase Custody, Anchorage Digital Bank and BitGo, providing layered security and compliance coverage. A sponsor fee of 0.30%—paid in XRP—aligns the manager’s incentives with token performance. Authorized participants can create or redeem shares either in‑kind or with cash, a flexibility that enhances liquidity and mirrors the operational models of more mature commodity ETFs, attracting wealth‑platforms and institutional allocators.

Industry observers note that XRP spot ETFs are approaching $1 billion in cumulative inflows, a rare sign of sticky demand for a nascent crypto segment. The timing coincides with the rollout of the XRPL 3.0 upgrade, which adds network stability and DeFi primitives, positioning the ledger as a viable settlement layer for enterprises. As compliance‑focused investors gravitate toward regulated vehicles like TOXR, Ripple’s broader strategy to embed XRP in institutional workflows gains traction, potentially accelerating adoption beyond speculative trading and reinforcing the token’s role in cross‑border finance.