XRP Update: XRP Expands to Multiple Blockchains as ETFs See Steady Inflows

Ripple is planning to expand the footprint of its flagbearer, XRP, by going live on both the Solana and Ethereum blockchains. In addition to both Solana and Ethereum, Ripple has plans to extend the tradability of XRP onto multiple compatible chains like Optimism and HyperEVM as wXRP.

The wXRP will be pegged 1:1 with the original asset (XRP) to be made available for trade on the mentioned blockchains. This native XRP representation will be issued by Hex Trust, a fully licensed and regulated financial institution that provides services for digital assets. The custody and compliance standards will be maintained through Ripple’s KYC/AML policies and the firm’s institutional-grade custody.

With over 100 million US dollars worth of wXRP in the debut as total value locked (TVL), the asset will come with a strong early-stage liquidity, which carries paramount importance in maintaining price stability across different blockchain platforms. This will also provide a smoother trading experience for investors who are native to different blockchain platforms.

Implications of the Expansion

There are two main goals that Ripple aims to achieve with this expansion. Firstly, to expand the liquidity of XRP across a broader range of blockchains, and secondly, to increase the utility of XRP and RLUSD on a broader scale. This is according to the Hex Trust CPO and Head of Custody Giorgia Pellizzari.

With the present liquidity exposure of XRP on DeFi blockchains achieved primarily through third-party bridges, Ripple is rethinking the possibility of expanding XRP’s liquidity exposure by eliminating an intermediary like the cross-chain bridges through this DeFi integration via wXRP.

As stated earlier, this wXRP will be used alongside RLUSD to maximize utility between the two assets and grab a share of the DeFi market. RLUSD, Ripple’s USD equivalent stablecoin, was launched in December 2024. Since then, RLUSD’s progress has been steady but not as rapid as Ripple had expected it to be. With the latest move in the DeFi ecosystem, Ripple aims to improve the performance of both XRP and RLUSD, all the while cutting down intermediaries that have facilitated their operations on the DeFi ecosystem so far.

While this move is carrying great expectations to improve the liquidity and price projections of XRP in the long term, there was no immediate volatility in the market right after the announcement. XRP continues its sideways consolidation movement as usual, even amidst this groundbreaking news.

XRP ETFs Setting Stage For $10 Billion Boom

With total ETF capital inflows surpassing the 990 million US dollar mark, XRP’s net ETF valuation now stands at a staggering 1 billion US dollars. The main takeaway from this analysis is that major industry experts are projecting a net ETF valuation of 10 billion US dollars by 2026 for XRP.

According to data collected from SoSoValue, the current XRP ETF net valuation stands at 1.18 billion US dollars, after surpassing the 1 billion US dollar mark last Thursday. According to the CEO of Canary Capital, Steven McClurg, even though it was Solana that first launched itself into the ETF ecosystem, XRP ETFs have surpassed it in AUM(Assets Under Management). McClurg also pointed out how this is an indication that there is rising investor interest in XRP ETFs.

Grayscale, Franklin Templeton, Bitwise, and Canary Capital are the five asset management firms that currently offer ETF services for XRP. A sixth recent entry made by 21Shares with the ticker symbol TOXR for its XRP ETF is further expanding the domain by giving increased access to investors for trading XRP ETFs. Courtesy of these efforts, XRP ETFs have been witnessing a steady inflow of capital.

With the high regulatory approval XRP is receiving through institutional ETFs, the investor sentiment has highly shifted in favor of XRP. Industry’s leading analysts note that of the six XRP ETF assets available now, there are missing participants like BlackRock, who can significantly improve the capital inflow into XRP ETFs. All of these points towards the fact that XRP still has room left to grow in the ETF ecosystem.

What gives confidence to the market analysts is that even amidst a volatile crypto market and a limited number of XRP ETFs, they have been able to put forth a stellar performance. According to this narrative and the current trends, if the weekly inflows maintain the steady values with an approximate 200 million US dollars, XRP is looking at a 10 billion US dollars worth of valuation by the end of 2026.

Also Read: Grayscale Projects Bitcoin to Reach New Record High by Early 2026