- The odds of an XRP ETF this year are 71% on Polymarket
- JPMorgan and other institutional representatives believe an XRP ETF could bring in significant money
- The incoming Trump administration could speed things up
If there is one thing big corporations and average investors seem to agree on – it’s that we will see an XRP Exchange Traded Fund (ETF) this year. On Polymarket, odds of an XRP ETF in 2025 currently sit at 71%, and even JPMorgan is warming up to the idea.
What’s an ETF, and Why Does It Matter?
An ETF is a financial product that tracks the performance of a specific cryptocurrency (or a basket of cryptocurrencies), allowing investors to gain exposure to the market without directly owning the digital assets.
These products are offered on traditional stock exchanges, and since they provide a regulated, simple way for institutions to gain exposure, they’re often seen as the best way to bring “big money” into the crypto industry.
Currently, both Bitcoin and Ether have associated ETFs, with the iShares Bitcoin Trust (IBIT), launched in January last year, being particularly successful. This ETF amassed more than $52 billion in assets under management (AUM).
Grayscale’s Ethereum Trust ETF (ETHE), on the other hand, manages roughly $4.6 billion in assets.
Expanding the List of ETFs
The success of these ETFs has not only lured institutional investors, but also motivated asset managers to seek the introduction of ETFs for smaller tokens, such as Solana, or Ripple’s XRP.
On Polymarket, a decentralized prediction platform where users trade on real-world event outcomes, the odds of an XRP ETF this year are at 71%, suggesting that the majority of the industry expects it this year. Aside from a few outlier moments, odds have mostly hovered between 69% and 72%.
At the same time, banking giant JPMorgan recently said that ETFs for Solana and XRP could attract up to $14 billion in new funds. For XRP specifically, an ETF could draw in between $4 billion and $8 billion.
Other high-profile individuals in the banking industry seem to be echoing this idea as well, as Matthew Sigel, head of digital assets research at VanEck, shared JPMorgan’s comments on X, suggesting a positive outcome.
Paving the Way for More Crypto ETFs
The success of the Bitcoin and Ethereum ETFs has drawn in big players like pension funds, including the State of Wisconsin Investment Board and Michigan. This definitely paves the way for more ETFs down the road.
Read also: Trump’s SEC Team Boosts Spot XRP ETF Approval Odds to 70%
The incoming U.S. administration’s pro-crypto stance could also shape regulations, potentially making it easier for new cryptocurrency ETFs to get approved.
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