Morgan Stanley’s recent SEC filing relating to XRP by way of an ETF has added to the focus of the overall cryptocurrency market. While this development continues to positively impact Ripple, as well as XRP, this also shows confidence in digital assets beyond Bitcoin and Ethereum. With over $9 trillion in client assets, the decision by Morgan Stanley to include XRP ETFs in their offerings shows the market that traditional investors are developing their crypto strategies in other blockchain payments.
Morgan Stanley Discloses XRP ETF Holdings
Morgan Stanley’s latest filing with the US Securities and Exchange Commission disclosed for the first time in Q1 2026 that Morgan Stanley’s trading of XRP by way of ETFs. Along with this filing were disclosures of the purchase of the Volatility Shares XRP ETF and the Grayscale XRP ETF (GXRP) with approximately 1,700 and 100 shares, respectively.
The placement of the Morgan Stanley XRP ETFs is indicative of future movements of institutional investors in digital assets, making XRP an increasingly secure digital asset within diversified portfolios. They are known for already taking substantial positions in Bitcoin ETFs along with Ethereum investments and crypto-related firms.
Interest in XRP Increasing
Investors are starting to show more interest in XRP as major financial institutions are announcing large investments in XRP related products. Additionally, there are reports that some of the largest banks in the world, like Bank of America and UBS, have also announced they are starting to invest in ETFs that include XRP.
Ripple’s greater involvement in the global payment system is the cause for the increased interest. SWIFT, the global standard in cross-border payments, has also recognized that Ripple operates a function more efficiently and in a cost-effective way. With more and more financial institutions looking for payment solutions, Ripple’s technology has a clear advantage over legacy banking systems.
While other giant financial institutions are rapidly entering the cryptocurrency space as well, Morgan Stanley, in particular, is capitalizing on the success of spot Bitcoin ETFs to prepare to offer crypto trading on their ETrade platform. In addition to having some blockchain technology-focused ETFs in the works, they also have approvals pending for spot Ethereum and Solana ETFs.
XRP ETFs Receive First Positive Inflows
XRP is the only digital asset successfully attracting investments, while other funds are experiencing withdrawals. In one day, investment in spot XRP ETFs reached $1.77 million, and almost all of XRP related ETFs were purchased in the Bitwise ETF.
CoinShares data indicates that XRP ETFs saw inflows of $31.8 million last week. Comparatively, global Bitcoin funds saw outflows of roughly $1.315 billion and Ethereum investment products suffered redemptions nearing $222 million. Against this backdrop, it appears as though the global investment community may be shifting funds to other cryptocurrencies with potentially higher short-term earnings.
What are the Chances XRP Price Will Go Back Up Again?
XRP price is showing further recovery with the renewed interest of institutions. XRP traded at 1.32 ( up 4% from the previous day) and bounced back from a price low of 1.28 to a high of 1.33. To the contrarily, trading volumes dipped by 13% signifying the market is being charged with hesitancy, though price shows potential.
Meanwhile, the derivatives market is showing increasing optimism. Options targets within the Deribit market are focusing on a strike at $1.60 with the June 26 expiry and the $3.40 level is being touted by some traders for a rally by September.
Futures data from Coinglass shows that XRP open interest is up approximately 0.30% to $2.95 billion over the span of 24 hours. Activity within futures on the CME is showing a slight decline, while it is showing more retail and international trading activity on the major crypto exchanges Binanace and Bybit. The XRP market is showing more confidence.
Conclusion
XRP now has its first large institutional holder, and this will start the trend of other large institutions buying Ripple-related assets. The move also displays an increased confidence in the blockchain payment system vs traditional payment systems that utilize SWIFT and other expensive cross-border payment systems.
Morgan Stanley’s purchase of an XRP ETF shows a greater confidence in the future utility and longevity of XRP. Other investment houses that manage $9 trillion will start the trend of buying related Ripple assets as more companies start to capture the XRP ETF.
This will increase the price of XRP as we anticipate large institutional orders to come in the near future. XRP is also getting increased trading sentiment and investment in the futures market.
