XRP, Institutional Funds Surge 1,220%... "It's Not Just About Bitcoin Anymore"

▲ XRP

Funds flowing into XRP investment products surged by 1,220% in just one week. While digital asset investment products as a whole have seen inflows for six consecutive weeks, XRP-based products saw a significant expansion in inflows, from $3 million the previous week to $39.6 million last week. During the same period, a total of $857.9 million flowed into all digital asset investment products.

NewsBTC reported on May 13 (local time), citing CoinShares' weekly fund flow data, that inflows into XRP-based exchange-traded products increased by 1,220% in seven days. XRP's year-to-date cumulative inflows have risen to $191 million, and assets under management have grown to approximately $2.56 billion. NewsBTC stated that XRP has emerged as one of the assets showing strong momentum among cryptocurrency investment products, excluding Bitcoin (BTC), in recent reports.

Bitcoin continued to dominate the market last week with inflows of $706.1 million. Ethereum (ETH) recorded $77.1 million, and Solana (SOL) saw $47.6 million. However, NewsBTC noted that these figures largely reflect differences in the market size of each asset, and in XRP's case, the change is particularly notable as investors who previously allocated only small amounts of funds suddenly increased their allocations to a larger scale.

Regionally, the United States was identified as the key channel for last week's rebound. US-based products saw inflows of $776.6 million, representing a 1,530% recovery from $47.5 million the previous week. Germany recorded $50.6 million, Switzerland $21.1 million, and the Netherlands $5 million. While the increase in XRP inflows occurred amidst a broader trend of funds entering digital asset investment products, NewsBTC pointed out that the institutional investment narrative surrounding the Ripple ecosystem played a positive role.

In particular, Ripple's successful completion of a pilot for tokenized US Treasury settlements on the XRP Ledger with JP Morgan, Mastercard, and Ondo Finance was cited as a factor improving investor sentiment. The redemption process was reportedly completed in under 5 seconds. NewsBTC explained that as the market for tokenized real-world assets grows rapidly, this case influenced the bullish sentiment towards the Ripple and XRP ecosystem.

Expectations surrounding the US cryptocurrency market structure bill were also mentioned as a background for improved fund inflows. NewsBTC reported that the US Senate Banking Committee had released a draft of the bill, with a vote scheduled for May 14. In April, monthly inflows into US-listed XRP ETF products showed their strongest momentum this year, and last week's surge indicates that this momentum continued into the new month.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*