Canary Capital CEO Predicts XRP ETF Could See $5 Billion in First-Month Inflows, Outperforming Ethereum

The high-profile executive projects the potential fund could attract $5 billion in initial inflows, citing XRP's strong real-world utility in cross-border payments as a key advantage over the recently underperforming Ethereum ETFs.

NEW YORK – Steve McClurg, CEO of Canary Capital, has made a bold prediction for the future of crypto-based financial products, stating that a potential XRP exchange-traded fund (ETF) could attract as much as $5 billion in inflows within its first 30 days of trading. In a Friday interview, McClurg expressed confidence that an XRP ETF would not only surpass the debut of Bitcoin's ETF but would also significantly outperform the recently launched Ethereum ETFs.

McClurg’s projection of $5 billion in initial inflows would eclipse the success of the spot Bitcoin ETFs, which gathered a combined $3.26 billion in their first month. He attributed this bullish outlook to XRP's unique position in the market. "XRP is the most popular token on Wall Street, besides Bitcoin, and that makes a major difference," he stated, emphasizing its clear use case in cross-border payments as a key driver for institutional interest.

Adding to the momentum is the token's highly engaged retail community, known as the "XRP Army," which McClurg believes would provide immediate and substantial demand for the fund upon launch.

The optimistic forecast for XRP stands in stark contrast to the lackluster performance of spot Ethereum ETFs. After their much-anticipated debut in July 2024, the funds were met with weak investor sentiment, recording net outflows of $483 million in their first month. A significant portion of these outflows was driven by redemptions from the Grayscale Ethereum Trust (ETHE) as it converted to an ETF.

McClurg argues that XRP's established real-world utility gives it a more compelling investment narrative for regulated markets, potentially shielding its ETF from similar performance issues. He also noted that futures-based XRP products already exist, a factor that often paves the way for the approval of spot ETFs.

Confidence in the eventual approval of an XRP ETF is growing, with some market analysts raising the likelihood of a 2025 launch to 87%. McClurg anticipates that XRP could receive regulatory approval alongside other digital assets like Solana and Litecoin before the end of 2025.

Should these projected inflows materialize, analysts predict the price of XRP could surge to $26 per coin, pushing its market capitalization to $1.36 trillion and cementing its status as a serious institutional-grade financial product.