Crypto asset management firm Grayscale Investments announced the launch of the Grayscale XRP Trust, which contributed to a nearly 10% increase in the XRP price, the seventh-largest cryptocurrency by market capitalization.
Grayscale’s new trust offers investors, both individual and institutional, who meet accreditation criteria, the chance to invest in XRP.
This token powers the XRP Ledger, a decentralized network designed for international financial exchanges, according to Grayscale’s statement. Ripple has also recently unveiled significant advancements aimed at enhancing crypto infrastructure, driving greater institutional adoption of its blockchain technology.
Unlike exchange-traded funds, which can have a fluctuating number of shares, trusts like this are closed-end, limiting the number of shares to a fixed amount, making them less liquid. Following the announcement, XRP’s price surged by up to 9.8%, reaching approximately 59 cents, though it remains down about 8% for the year. Currently, XRP’s market valuation stands at about $32 billion and the time of writing XRP price was still rocketing by 6.34%.
Recently, the company’s investment vehicles focused on digital currencies, especially Grayscale’s Ethereum and Bitcoin exchange-traded funds (ETFs), have experienced a significant decrease in assets. Recent figures indicate that Grayscale’s total holdings have dropped below $20 billion.
Source: https://coingape.com/xrp-price-soars-10-amid-gensler-probe-grayscales-ripple-trust/