Historic Step for the Crypto Market from Canada: XRP ETF Approved

Canada is making another first in the cryptocurrency market. Purpose Investments, one of the country's leading asset management companies, has received official approval from the Ontario Securities Commission (OSC) for Canada's first spot XRP exchange-traded fund (ETF). This new product, which will trade under the name “Purpose XRP ETF,” will be available to investors on the Toronto Stock Exchange (TSX) on Wednesday, June 18, 2025.

The XRP ETF will be offered to investors in three different options

The new ETF will be available in different formats to suit investors' needs:

• XRPP – Canadian dollar-based and currency-hedged version
• XRPP.B – A version denominated in Canadian dollars without currency risk
• XRPP.U – A version denominated in US dollars

These funds will provide investors with direct exposure to XRP price movements without requiring them to deal with technical details such as private key management or digital wallet usage. Furthermore, these ETFs can be held in accounts such as Registered Retirement Savings Plans (RRSPs) and Tax-Free Savings Accounts (TFSAs), which offer tax advantages in Canada. This feature provides a significant financial incentive for individual investors.

Vlad Tasevski, Purpose Investments' innovation officer, stated that this approval is significant not only for the XRP ETF but also for highlighting Canada's pioneering role in global digital asset regulation. In his statement, Tasevski said, "The OSC's approval once again demonstrates Canada's global leadership in creating a regulated crypto asset ecosystem. We are proud to offer accessible products that bridge the gap between blockchain and traditional finance."

Purpose had previously been a pioneer in Canada with its Bitcoin and Ethereum ETFs, successfully attracting institutional investors to the crypto asset ecosystem. With the XRP ETF, the company has further expanded its crypto-based product range. The XRP price responded slightly positively to this development.

The US is lagging behind

An XRP-based spot ETF has been on the agenda in the US for a long time but has not yet been approved. In particular, the ongoing legal dispute between Ripple and the US Securities and Exchange Commission (SEC) poses a significant obstacle in this process. However, Canada stands out as one of the first countries to launch this product. As the second country after Brazil to approve an XRP ETF, Canada's move could also increase pressure on the U.S.

Moreover, this development is occurring despite the election of a prime minister known for his anti-cryptocurrency rhetoric in March 2025. The resolution of the SEC's lawsuit against Ripple could pave the way for a potential XRP ETF approval in the US. On the other hand, BlackRock, the world's largest asset manager, has not yet applied for an XRP-based product, but analysts believe this step is imminent.