In a landmark move for the cryptocurrency industry, the United States Securities and Exchange Commission (US SEC) has approved ProShares’ launch of XRP futures exchange-traded funds (ETFs). Set to begin trading on April 30, 2025, these ETFs offer a regulated pathway for investors seeking exposure to XRP, the native token of Ripple Labs.
This development marks a significant milestone not only for XRP holders but also for the broader crypto ETF landscape, signaling increasing regulatory acceptance of diverse digital assets beyond Bitcoin and Ethereum. Here’s everything to know about the ProShares XRP Futures ETFs, Ripple’s role, and why this approval is a pivotal moment for the crypto market.
ProShares’ XRP Futures ETFs: What Was Proposed?
ProShares, a well-established player in the ETF space, initially proposed the launch of three XRP-linked futures ETFs in January 2025. The products include:
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Ultra XRP ETF (offering 2x leverage),
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Short XRP ETF (offering inverse -1x leverage),
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Ultra Short XRP ETF (offering inverse -2x leverage).
These ETFs are designed to track the price of XRP through the XRP Index, offering investors multiple strategies depending on their market outlook—whether bullish, bearish, or highly speculative.
The proposal came shortly after the election of “crypto-friendly” US President Donald Trump, who had promised to create a more welcoming regulatory environment for blockchain and digital assets. This political backdrop has helped accelerate crypto product approvals that were previously mired in regulatory red tape.
Are These the First XRP-Linked ETFs?
Not exactly. Teucrium Trading made headlines earlier this month when its XRP futures ETFs began trading on the New York Stock Exchange (NYSE) on April 8, 2025. Teucrium’s move broke ground for XRP in the ETF sector, making it one of the few altcoins after Bitcoin and Ethereum to have such investment vehicles available in U.S. markets.
However, ProShares’ upcoming launch is significant due to the company’s brand recognition and robust track record. ProShares was among the first to launch Bitcoin futures ETFs in the United States, establishing credibility and attracting major institutional interest.
In addition to futures products, ProShares has also filed for an XRP spot ETF, which would directly invest in XRP tokens rather than futures contracts. This application is still pending before the SEC. Meanwhile, Brazil approved the world’s first XRP spot ETF offered by Hashdex last week, setting a potential precedent for other countries to follow.
Separately, CME Group, a leader in derivatives trading, announced plans to launch XRP futures contracts on May 19, aiming to capitalize on the growing appetite for altcoin-linked products.
How Futures ETFs Work
Futures-based ETFs differ from spot ETFs in several important ways. A futures ETF provides investors exposure to the future price movements of an asset without requiring them to hold the underlying asset directly.
For XRP, this means:
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Investors can gain from the price increases or decreases of XRP without owning the token itself.
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Futures ETFs often roll over contracts (buying new futures before old ones expire), potentially leading to discrepancies between the ETF price and the spot market price of XRP.
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Leveraged and inverse ETFs amplify gains and losses, offering sophisticated tools for tactical traders but also carrying higher risks.
In ProShares’ case:
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Ultra XRP ETF targets 2x the daily performance of XRP futures contracts.
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Short XRP ETF aims to provide -1x the daily return (i.e., profit when XRP prices fall).
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Ultra Short XRP ETF magnifies the inverse exposure, targeting -2x the daily return.
Such structures enable investors to express complex views on XRP price action, including hedging existing portfolios or speculating on volatility.
Why This Approval Is Significant
The approval of ProShares’ XRP Futures ETFs is a game-changing development for several reasons:
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Expansion Beyond Bitcoin and Ethereum:
Until recently, institutional and retail exposure to crypto markets via ETFs was largely restricted to Bitcoin and Ethereum. XRP now joins this elite group, signaling broader acceptance of major altcoins. -
Regulatory Maturity:
The SEC’s willingness to greenlight XRP futures ETFs—especially after years of litigation against Ripple Labs—indicates a maturing stance towards cryptocurrency assets. -
Increased Institutional Interest:
Institutions are likely to find XRP Futures ETFs attractive due to their regulated structure, transparency, and ease of access via traditional brokerage accounts. -
Boost to Ripple and XRP Ecosystem:
XRP’s use cases—especially in cross-border payments—may gain renewed attention, benefiting from the added legitimacy brought by regulated financial products. -
Market Reaction:
XRP’s price has already responded positively. On April 28, XRP surged over 6.35% to $2.28, outperforming most major cryptocurrencies, including Bitcoin, which was down 1.79% on the same day.
How To Buy ProShares XRP Futures ETFs
Purchasing ProShares XRP Futures ETFs will be straightforward for investors familiar with traditional ETFs.
Here’s a simple guide:
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Open a Brokerage Account:
Investors need to use a trading platform that supports crypto ETFs. Popular options include Fidelity, Robinhood, Vanguard, and TD Ameritrade. -
Deposit Funds:
After selecting a broker, deposit the funds required for your planned purchase. -
Search for ETF Ticker Codes:
On April 30, once the ETFs are live, search the trading platform for the ticker codes corresponding to ProShares’ XRP ETFs. -
Place an Order:
Place a buy or sell order based on your investment goals and risk appetite.
Investors should be cautious, particularly with leveraged products, and ideally consult with a financial adviser before investing in high-risk ETFs.
About ProShares and Ripple
ProShares:
Founded in 2006, ProShares has carved out a niche in offering innovative ETFs, including leveraged, inverse, and sector-specific funds. With over $70 billion in assets under management, the company has emerged as a pioneer in crypto-linked ETFs, launching one of the first Bitcoin futures ETFs in the U.S. back in 2021.
The company focuses on providing tools for a wide range of investment strategies, from dividend growth to interest rate hedging to crypto exposure.
Ripple Labs:
Ripple Labs is the blockchain company behind XRP. Founded in 2012, Ripple aims to facilitate real-time cross-border payments using blockchain technology. Its RippleNet platform connects banks and financial institutions, enabling faster, cheaper international transactions.
Ripple spent years locked in a high-profile legal battle with the SEC, which alleged that XRP was sold as an unregistered security. This lawsuit, initiated in 2020, concluded in March 2025 with a settlement, which Ripple CEO Brad Garlinghouse hailed as a “resounding victory.”
Following the lawsuit’s resolution, XRP prices spiked, restoring confidence among investors and paving the way for broader adoption.
Market Impact: XRP Surges While Bitcoin Stumbles
The market’s reaction to the SEC’s decision has been emphatically positive for XRP.
According to CoinMarketCap:
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XRP’s price rose 6.35% to $2.28.
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XRP’s market cap reached $131.06 billion, up 2.67% in a day.
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XRP’s 24-hour trading volume jumped 53.58% to $3.92 billion.
In contrast, Bitcoin was trading lower at $93,081.91, reflecting a broader market malaise.
XRP’s resilience, especially while other top-10 cryptocurrencies were in the red, suggests that investors see real potential in XRP’s growing institutional legitimacy.
Broader Implications for Crypto ETFs
The SEC’s approval of XRP Futures ETFs comes amidst a flurry of activity around cryptocurrency-based financial products:
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Bitcoin and Ethereum spot ETFs have now been mainstream for over a year.
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Solana ETFs launched recently, expanding the altcoin ETF universe.
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Major firms like BlackRock, Fidelity, and Grayscale continue to push for new crypto ETFs.
The trend is unmistakable: regulated financial markets are increasingly embracing cryptocurrency.
The future could soon see ETFs based not just on XRP but also on a wide array of digital assets like Cardano (ADA), Polygon (MATIC), and others. As ETF options expand, crypto markets could become less volatile and more liquid, driven by institutional inflows.
Conclusion: A Defining Moment for XRP and Crypto Investing
The US SEC’s approval of ProShares’ XRP Futures ETFs is more than just a product launch—it is a validation of XRP’s role in the evolving crypto economy.
For investors, the new ETFs offer a way to bet on XRP’s future without the complexity of wallet management, custody issues, or direct exposure to volatile crypto exchanges. For Ripple Labs, it represents a hard-earned triumph after years of regulatory adversity.
With XRP leading the charge and futures contracts soon available via ProShares and CME Group, the digital asset ecosystem is poised for a new era of growth, legitimacy, and innovation.
April 30, 2025, will not just mark the launch of new ETFs — it may well be remembered as the day XRP entered Wall Street’s mainstream financial toolkit.
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