Expert Projects $100 Billion Capital Inflow into XRP After Futures ETF Launch

An expert has predicted that the approval of the first-ever XRP futures exchange-traded fund (ETF) will pave the way for a spot ETF. He believes this could potentially channel $100 billion into XRP (XRP).

This prediction comes after the US Securities and Exchange Commission (SEC) approved ProShares’ XRP futures ETF.

XRP Futures ETF Approved: Is a Spot ETF Next? 

According to the official filing, ProShares will launch three futures-based ETFs: the Ultra XRP ETF, the Short XRP ETF, and the Ultra Short XRP ETF. These will begin trading on April 30. This development follows the launch of Teucrium’s 2x Long Daily XRP ETF in early April. 

While not a spot ETF, the approval has sparked optimism among XRP investors. Industry expert Armando Pantoja forecasts the move could lead to substantial capital inflow into the altcoin.

“A spot XRP ETF could be next, unlocking real demand and sending prices soaring. $100 billion+ could soon flood into XRP,” he wrote.

Pantoja stressed that the approval marks a significant turning point for cryptocurrency, as it now attracts substantial attention from Wall Street and institutional investors. With this move, XRP gains a regulated and accessible avenue for major financial players to engage with the asset. 

This development broadens XRP’s investor base. Furthermore, it affirms its mainstream legitimacy, positioning it within what he called the “elite league” of financial assets.

The analyst also drew parallels between XRP and the trajectories of Bitcoin (BTC) and Ethereum (ETH). He noted that futures ETFs were approved first for both cryptocurrencies, followed by spot ETFs. 

For instance, Bitcoin’s spot ETF was approved in 2024, three years after ProShares launched the first Bitcoin futures ETF in 2021. Now, XRP seems to be following the same path.

Pantoja predicted that the approval of a spot XRP ETF could have a major impact on the market. As institutional investors gain greater access to the asset, it will likely trigger significant buying pressure. In addition, a surge in demand and a tightening of supply could set the stage for a dramatic rise in XRP’s price. 

“Futures ETF = first domino. Spot ETF = the tipping point. XRP’s long-term setup just got way stronger,” Pantoja remarked.

Nonetheless, another analyst has tempered expectations. He emphasized that while the futures ETF approval is certainly significant, it is not the game-changer many might expect. 

“It’s not the silver bullet that will trigger mass adoption or massive price action. The real catalyst will come when a Spot XRP ETF gets approved. Real tokens. Real demand. Real market impact,” John Squire posted.

Unlike a spot ETF, which buys and holds the actual token, creating real demand in the market, a futures ETF only allows investors to speculate on the price without purchasing the underlying asset. 

This distinction means that while the futures ETF can increase recognition within traditional finance, it does not directly impact the supply of XRP or create immediate buying pressure.

The analyst highlighted that the product also comes with notable disadvantages. One key issue is that it could lead to greater price volatility. 

Furthermore, futures ETFs often carry hidden costs, such as rollovers (the process of renewing contracts when they expire), slippage (the difference between the expected price and the actual price of a trade), and management fees, which can add inefficiencies and reduce investors’ overall returns.

It is worth noting that several spot XRP ETF applications are currently awaiting SEC approval. The regulator faces critical deadlines for the Grayscale XRP Trust and 21Shares Core XRP Trust ETFs, with decisions due in October.

While the US decides, other nations have taken the lead. BeInCrypto reported that Hashdex launched the first XRP ETF in Brazil last week. Importantly, confidence in a similar development happening in the US remains high.

On Polymarket, a prediction platform, the odds of an XRP ETF approval in 2025 stand at 76%. Meanwhile, market enthusiasm for XRP is also reflected in its price.

The coin’s value has appreciated by 9.4% over the past week. In fact, its recovery has pushed it to highs last seen in late March. At the time of writing, XRP’s trading price was $2.3, representing daily gains of 7.3%.