Volatility Shares has officially launched the first-ever 1x XRP futures exchange-traded fund (ETF), marking a significant milestone for institutional investment in XRP. The fund, which began trading today, May 22, 2025, on the Nasdaq exchange under the ticker XRPI, introduces a regulated way for investors to gain exposure to XRP’s futures market.
Bloomberg ETF analyst Eric Balchunas confirmed the launch on his official X (Twitter) account, noting that XRPI represents the first 1x XRP futures ETF in the crypto market. Unlike leveraged 2x ETFs that mirror twice the token’s daily performance, XRPI offers non-leveraged, one-to-one price exposure, making it more accessible and less risky for traditional investors.
Fee Structure and Investor Incentives
In its updated filing submitted on May 21, Volatility Shares detailed the management and operational fees associated with the new fund. XRPI carries a management fee of 1.15% per annum, aligning with similar offerings in the ETF space.
However, the firm sweetened the deal by introducing a 0.21% fee waiver, effectively reducing the operational cost to 0.94% through May 22, 2026. This incentive attracts early investors and builds momentum around the ETF’s initial trading period.
Volatility Shares designed XRPI to invest in cash-settled XRP futures contracts, meaning investors won’t receive physical XRP but profit or lose based on the token’s price at contract expiration. To maintain continuous exposure, the fund will roll expiring contracts into longer-dated futures, allowing it to adjust to market shifts without liquidation.
According to the filing, when available, at least 80% of XRPI’s assets will remain in XRP-linked investments, including XRP-referenced swaps, futures, and potentially spot-based XRP ETFs. This approach gives the fund both flexibility and targeted exposure to the XRP market.
Launch of 2x XRP ETF Also Underway
In addition to XRPI, Volatility Shares is rolling out a 2x leveraged XRP futures ETF, which will also trade on Nasdaq. This fund targets investors seeking amplified returns by doubling XRP’s daily movement. Though riskier, the 2x ETF complements XRPI by offering broader strategic choices to market participants.
Balchunas noted that while 2x XRP futures ETFs, including the Teucrium XXRP, have appeared in the market recently, XRPI distinguishes itself as the first non-leveraged XRP futures ETF, potentially opening the door to a more conservative and diversified investor base.
Strong Demand Expected for XRPI
Eric Balchunas expressed confidence in XRPI’s potential, drawing comparisons to the performance of Teucrium’s 2x Long Daily XRP ETF (XXRP), which debuted just last month on April 9. Despite its aggressive structure, XXRP posted an impressive $5 million trading volume on its first day. That figure has since ballooned to $35 million daily, with total assets under management (AUM) reaching $120 million.
Based on these numbers, Balchunas predicts that XRPI will attract robust interest from retail and institutional investors, especially those seeking a regulated, 1x exposure to XRP through the traditional financial infrastructure.
Related article: SEC Extends Review of XRP and Dogecoin ETF Proposals, Seeks Public Feedback Amid Legal Concerns
Institutional Interest in XRP Continues to Climb
XRPI’s debut also arrives amid rising institutional demand for XRP-related products. Several investment firms have filed to launch both futures and spot ETFs tied to XRP, underscoring the token’s growing appeal as a serious crypto asset.
However, while the U.S. Securities and Exchange Commission (SEC) has approved multiple XRP futures ETFs, it has not yet authorized any spot-based XRP ETFs. Over 10 XRP spot ETF filings, including applications from Grayscale and 21Shares, currently await SEC approval.
Earlier this week, the SEC announced delays in reviewing those applications, extending the decision timeline and prompting speculation that approvals may arrive later in 2025.
With the launch of XRPI, Volatility Shares has taken a bold step in offering mainstream investors a new way to gain regulated access to XRP’s price movement. Coupled with the strong precedent set by XXRP, market participants now have greater tools to engage with XRP in a structured and secure manner.
