Grayscale XRP Trust Is Now Launched for Accredited Investors

Key Points:

• Grayscale is launching the U.S.’s first XRP trust, offering accredited investors direct exposure to XRP.
• Grayscale XRP Trust could eventually evolve into an ETF with regulatory approval, following the path of Grayscale’s Bitcoin and Ethereum trusts.

Grayscale, the largest crypto asset manager, is preparing to launch the first-ever U.S. investment product focused on XRP, a key step toward offering an exchange-traded fund for the digital asset.

Read more: Grayscale Bitcoin Mini Trust Is Showing Positive Signs 

Grayscale XRP Trust Launched for Accredited Investors

According to a FOX Business report, the company plans to unveil the Grayscale XRP Trust on Thursday, hence giving accredited investors direct exposure to XRP, a native token of the open-source blockchain XRP Ledger, widely used by Ripple for cross-border payments.

The Grayscale XRP Trust would be a “closed-end” fund-one where only accredited investors can make up the investor base, less in regulation than ETFs that have to go through and be approved by the SEC to market to the retail market.

Yet, Grayscale has kept the window open that the trust could, at any moment in the future and pending regulatory authorizations, become an ETF. The process would be no different from what happened with its Bitcoin and Ethereum trusts, which successfully converted to ETFs earlier this year.

Grayscale Doubles Crypto Investment Offerings with New Funds

With Grayscale’s four-phase product life cycle, this would indicate a strategic plan to bring XRP ETFs to Wall Street, which would fall in line with the broader efforts by the company in offering crypto-focused exchange-traded funds.

The company was instrumental in the first-ever crypto ETFs when, after a successful lawsuit against the SEC, it managed to turn its Grayscale Bitcoin Trust into a spot ETF. This opened the door to heavyweight financial operators such as BlackRock and Fidelity launching their Bitcoin ETFs and reconfiguring the playing field in the nascent asset class.

The Grayscale XRP Trust would mirror the operations of the company’s other single-asset investment trusts, which also provide exposure to cryptocurrencies like Bitcoin, Ethereum, Solana, and Litecoin.

Investors can subscribe on a daily basis, but subscription is only allowed to accredited persons or institutions. The latest growth in Grayscale’s suite of products has occurred since the recent inclusion of funds focused on Bittensor, AVAX, and Sui.