Canary Capital CEO Predicts $5B XRP ETF Inflows, Outperforming ETH ETFs
Steven McClurg, CEO of Canary Capital, is confident XRP ETFs will outperform ETH ETFs once launched. Speaking with Paul Barron...
Quick overview
- XRP ETFs are expected to outperform ETH ETFs due to the absence of staking yield conflicts.
- Strong community and institutional demand for XRP could lead to $5 billion in ETF inflows within the first month.
- The SEC has dismissed the Ripple lawsuit, eliminating significant regulatory hurdles for XRP.
- Canary Capital plans to utilize advanced indices for more accurate ETF tracking.
Steven McClurg, CEO of Canary Capital, is confident XRP ETFs will outperform ETH ETFs once launched. Speaking with Paul Barron, McClurg pointed to three key factors: yield structure, market positioning and community engagement.
Ethereum offers staking rewards of 2-3% directly to holders. XRP does not offer staking yields. McClurg said this makes ETFs more attractive to XRP investors since buying an XRP ETF doesn’t mean giving up staking income. He said Ethereum’s staking benefits will dampen demand for ETH ETFs since investors can earn yields by holding ETH outright.
XRP is also the clear leader in blockchain based financial services. McClurg pointed out XRP’s widespread use in cross border payments, remittances and institutional settlements. He said “When there’s a clear leader in a category it tends to win” and likened XRP’s role in payments to Bitcoin’s role as a store of value.
Strong retail and institutional demand for XRP will drive big ETF inflows. McClurg said an XRP ETF could see $5 billion in its first month, more than the initial uptake of ETH ETFs. This came after speculation of a BlackRock XRP ETF filing which added to the hype.
Technical and Regulatory Confidence for Launch
Canary Capital which has filed for an XRP ETF is optimistic to launch before year end. McClurg said reliable pricing mechanisms for ETF tracking is key and Canary Capital will use proprietary indices instead of traditional CME benchmarks. He said these indices offer more comprehensive coverage of crypto native markets and makes the ETF more transparent and accurate.
On the regulatory front, confidence is high after the XRP lawsuit is officially closed. The U.S. Securities and Exchange Commission (SEC) has formally dismissed its appeal against Ripple, ending a multi year legal battle that has clouded XRP’s future.
SEC Lawsuit is Over
SEC Commissioner Hester Peirce confirmed the lawsuit is over in a social media post. Australian lawyer Bill Morgan also said the case is final, removing uncertainty for investors and companies tied to XRP.Now Ripple and XRP can focus on innovation and regulatory clarity. With the legal hurdles removed XRP’s path to market expansion and ETF approval is clearer and supports Canary Capital’s ETF outlook.
Summary:
- XRP ETFs will outperform ETH ETFs no staking yield conflict
- XRP community and institutional demand will see $5 billion ETF inflows
- SEC has dismissed Ripple lawsuit removing major regulatory hurdles
- Canary Capital will use advanced indices for ETF tracking
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Save