Why Did Assets Decrease Even Though $1.51 Billion Poured into Ripple (XRP) Spot ETFs?

Despite $1.51 Billion Inflow into XRP Spot ETFs, Assets Stand at $988.78 Million

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Although a record $1.51 billion flowed into XRP (XRP, Ripple) spot ETFs, due to a sharp price drop, the actual net assets amounted to only $988.78 million. Despite consistent institutional buying, approximately $520 million in investment value disappeared, revealing a stark discrepancy between capital inflow and returns.

According to TradingNews, an investment specialized media outlet, on August 4 (local time), the cumulative net inflow into the six U.S. XRP spot ETFs reached a record high of $1.51 billion. Net assets are $988.78 million, representing 1.49% of XRP's market capitalization. Approximately $329 million newly flowed in during 2026 alone, but as XRP fell from around $2.30 to $1.07, a gap emerged between the inflow amount and assets held.

The leading product listed on NYSE Arca surpassed Canary Capital's XRPC with a cumulative net inflow of $500 million, accounting for 33% of the total. XRPC followed with $466.97 million (31%), and XRPZ with $422.45 million. The top three products accounted for 92% of the total inflow, but their market share was relatively evenly distributed. This structure differs from the Bitcoin (BTC) spot ETF market, where a single product holds 61% of the assets.

However, the monthly pace of capital inflow has significantly slowed. Net inflows, which were $131.94 million in May, decreased by 79% to $27.29 million in July. Although net inflows continued for four consecutive months until July, even with approximately $30 million flowing in over the last four trading days, the XRP price remained at $1.07-$1.08. The media analyzed that for spot ETFs to move the price, monthly net inflows need to recover to over $100 million.

The poor performance of XRPR, an early listed product, clearly demonstrates investment losses. XRPR has fallen by 65.68% since its inception, and its current decline is 64.02%. Net assets are $40.56 million, about one-third of the cumulative inflow of $123.63 million. The direct XRP holding ratio in the portfolio is 59.75%, and the 0.53% bid-ask spread and 0.75% annual management fee were also cited as cost burdens.

A key variable for future capital flows is the U.S. crypto market structure bill, the Clarity Act. Its probability of passing in 2026 decreased from a high of 43% in July to approximately 30%, and if cumulative net inflows remain at $1.51 billion by September, it could be interpreted as a signal of stagnant institutional demand. Conversely, if cumulative inflows exceed $1.6 billion and monthly inflows recover to over $75 million, institutional re-entry can be confirmed. The price of $1.06 is a critical turning point; if it holds, $1.35 and $1.64 could open up, but if it breaks, it could fall to $0.80 and $0.62.

*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.*