Why BlackRock Might be Reluctant to Pursue a U.S.-Listed Spot XRP ETF

BlackRock has made daring strikes into bitcoin and ether ETFs, however on Friday, the asset supervisor stated it had no quick plans to file for a spot XRP exchange-traded fund (ETF), dashing the neighborhood’s hopes that its entry might assist lengthen XRP’s 2025 rally.

This assertion — made the day after the U.S. Securities and Exchange Commission (SEC) and Ripple Labs collectively requested an appeals court docket to dismiss their respective appeals, signaling an finish to their almost five-year authorized battle — has left traders questioning why BlackRock stays on the sidelines.

While a number of asset managers, together with ProShares, Grayscale, and Bitwise, have filed for XRP ETFs since late 2024, BlackRock’s absence is notable, particularly given its dominance within the bitcoin and ether ETF markets.

Here are 5 explanation why BlackRock seems in no hurry to launch a spot XRP ETF, regardless of the XRP neighborhood’s anticipation of a demand-driven value surge.

First, BlackRock has cited restricted shopper curiosity in cryptocurrencies past BTC and ETH. Back in March 2024, Robert Mitchnick, the asset supervisor’s head of digital belongings, stated that there is a false impression that BlackRock can have a “long tail” of different crypto companies.

“I can say that for our client base, bitcoin is overwhelmingly the No. 1 focus and a little bit ethereum,” he stated throughout a fireplace chat on the inaugural Bitcoin Investor Day convention in New York on March 22.

Second, BlackRock’s strategic warning round regulatory uncertainty performs a function.

Although XRP gross sales on public exchanges are deemed non-securities, the broader regulatory framework for altcoins stays murky. BlackRock could be ready for clearer SEC tips earlier than coming into the altcoin ETF area.

The agency’s conservative method contrasts with opponents like ProShares, which filed for a spot XRP ETF in January 2025 alongside leveraged and futures-based XRP ETFs, the latter monitoring XRP futures contracts reasonably than the token’s spot value.

Third, BlackRock may even see diminishing returns in pursuing a spot XRP ETF given the crowded discipline. As of August 2025, at the very least seven corporations, together with Grayscale, Franklin Templeton and 21Shares, have a pending spot XRP ETF software.

Fourth, the XRP neighborhood’s expectations of a value surge could not align with BlackRock’s data-driven technique. Polymarket odds for the SEC approving a spot XTP ETF in 2025 stand at 77%. BlackRock’s tokenized cash market fund on Ethereum and Solana exhibits blockchain curiosity, however XRP’s smaller market footprint could not justify the operational prices of a new ETF.

Finally, BlackRock’s international perspective prioritizes markets the place XRP demand is much less pronounced. While the XRP neighborhood, energetic on platforms like X, anticipates a spot ETF driving demand, a lot of XRP’s buying and selling quantity comes from Asia, the place BlackRock’s ETF presence is much less dominant.

At press time, XRP was buying and selling round $3.1852, down 3.92% prior to now 24 hours, in accordance to CoinDesk Data.