All NewsEducationTVBrokers
Equities & FundsCrypto & Digital AssetsAI & TechnologyBusiness & CorporateUS Politics & PolicyGeopolitics & Global RiskMacro, Rates & FXCommodities & EnergyEuropean Politics & MarketsAsia-PacificReal Estate & Property
All NewsHome
← Back to Crypto & Digital Assets

Citadel Boosts XRP ETF Holdings, Signals Bullish Stance

Created at 3 Sep · 4:11 PM1 source↑ Market-relevant
IN SHORT

Ken Griffin's Citadel Advisors significantly increased its holdings in XRP exchange-traded funds during the second quarter, signaling a bullish outlook on XRP. The hedge fund also maintained put positions, indicating a hedging strategy.

Key Numbers

$250 billionCitadel's investment portfolio growth
$875 billionCitadel's Assets Under Management
215,639shares in REX-Osprey XRP ETF (XRPR)
54,438units in Volatility Shares Trust XRP ETF (XRPI)
764%increase in Volatility Shares 2x XRP ETF (XRPT) call position
9,040Q1 call contracts in XRPT
78,075Q2 call contracts in XRPT
$1.70 millionvalue of Q2 XRPT call position
79,500call contracts in Canary XRP ETF (XRPC)
54,500contract positions in Franklin XRP Trust (XRPZ)
46,200contracts in Bitwise XRP ETF
15,350contracts in Teucrium 2x XRP ETF
30,400Q1 put contracts in XRPI
90,700Q2 put contracts in XRPI
$1.7 billioncumulative net inflows into U.S. spot XRP ETFs
10%XRP price rebound
$1.46current XRP price
$1.3324-hour low XRP price
20%jump in XRP trading volume

Who's Involved

Citadel Advisors
Hedge fund that significantly increased XRP ETF holdings
Ken Griffin
Founder of Citadel Advisors
Volatility Shares Trust
Issuer of XRP ETFs including XRPT, XRPI
Ripple
Company involved in XRP ecosystem development
JPMorgan
Bank that disclosed XRP exposure
Morgan Stanley
Bank that disclosed XRP exposure
Bank of America
Bank that disclosed XRP exposure
Goldman Sachs
Largest XRP ETF holder with $86.50 million in holdings

↳ Why This Matters

Citadel's significant investment in XRP ETFs signals strong institutional confidence in XRP's future, potentially influencing market sentiment and driving further adoption. The concurrent increase in put options suggests a sophisticated hedging strategy, highlighting institutional risk management practices in the volatile crypto market.

Key facts

  • Citadel Advisors significantly increased its XRP ETF holdings in Q2.
  • The hedge fund reported direct holdings in REX-Osprey XRP ETF (XRPR) and Volatility Shares Trust XRP ETF (XRPI).
  • Citadel's call position in Volatility Shares' 2x XRP ETF (XRPT) increased by 764% to 78,075 contracts.
  • New call positions were established in Canary XRP ETF (XRPC), Franklin XRP Trust (XRPZ), Bitwise XRP ETF, and Teucrium 2x XRP ETF.
  • Citadel also maintained and increased put positions in several XRP ETFs as a hedging strategy.
  • U.S. spot XRP ETFs have accumulated nearly $1.7 billion in net inflows.

Ken Griffin's Citadel Advisors has substantially increased its investment in XRP exchange-traded funds during the second quarter, signaling a bullish stance on the cryptocurrency. The $875 billion asset management firm boosted its direct holdings and call positions across several US-listed XRP ETFs.

Citadel revealed direct holdings of 215,639 shares in the REX-Osprey XRP ETF (XRPR) and 54,438 units in the Volatility Shares Trust XRP ETF (XRPI). The most significant move was a 764% surge in call positions for Volatility Shares' 2x XRP ETF (XRPT), growing from 9,040 contracts in Q1 to 78,075 contracts worth $1.70 million in Q2. Additional call positions were established in Canary XRP ETF (XRPC), Franklin XRP Trust (XRPZ), Bitwise XRP ETF, and Teucrium 2x XRP ETF.

Complementing its bullish bets, Citadel also maintained and increased put positions in several XRP ETFs, including XRPI, Bitwise XRP, and Teucrium 2x XRP ETFs, indicating a hedging strategy to mitigate potential losses. Several other cash ETF lines were also eliminated.

This increased exposure comes as Ripple advances its tokenization, payments, and DeFi infrastructure, alongside an upcoming XRP Ledger upgrade. Other major financial institutions, including JPMorgan, Morgan Stanley, Bank of America, and Goldman Sachs, have also disclosed XRP exposure, with Goldman Sachs holding $86.50 million in XRP ETFs. U.S. spot XRP ETFs have collectively seen nearly $1.7 billion in net inflows.

In parallel, XRP price saw a rebound of nearly 10%, trading at $1.46 amid broader market discussions on geopolitical events and Treasury debt buybacks. Trading volume for XRP also increased by 20%.

Frequently asked questions

Citadel Advisors significantly increased its exposure to XRP ETFs in Q2, with specific call positions valued at $1.70 million in Volatility Shares' 2x XRP ETF (XRPT) alone, and substantial direct holdings in other XRP ETFs.

Citadel is employing a dual strategy, increasing bullish call positions in various XRP ETFs while also holding put options as a hedge against potential losses.

Citadel holds direct shares in REX-Osprey XRP ETF (XRPR) and Volatility Shares Trust XRP ETF (XRPI). They also have call and put positions in Volatility Shares' 2x XRP ETF (XRPT), Canary XRP ETF (XRPC), Franklin XRP Trust (XRPZ), Bitwise XRP ETF, and Teucrium 2x XRP ETF.

U.S. spot XRP ETFs have experienced cumulative net inflows of nearly $1.7 billion.

What Happens Next

01Final shareholder voting on Armada Acquisition Corp II (XRPN) merger with Evernorth Holdings on September 30.

How It Developed

Citadel Advisors increased its XRP ETF exposure in Q2.
The hedge fund reported direct holdings in XRPR and XRPI ETFs.
Citadel's call positions in Volatility Shares' 2x XRP ETF (XRPT) jumped 764%.
New call positions were established in XRPC, XRPZ, Bitwise XRP, and Teucrium 2x XRP ETFs.
Citadel also held put positions in XRPI, Bitwise XRP, and Teucrium 2x XRP ETFs.
Several cash ETF lines were eliminated by Citadel.
Citadel revealed holdings in Armada Acquisition Corp II (XRPN), linked to Ripple.
U.S. spot XRP ETFs have seen cumulative net inflows near $1.7 billion.

Sources

T1
Ken Griffin’s Citadel Reveals Massive Bullish Positions in XRP ETFsCoinGape

Related Stories

BIS Tests XRP Ledger for Tamper-Proof Data
3 Sep · 7:31 AM
CFTC Seeks Dismissal of CME's Crypto Futures Lawsuit
3 Sep · 10:46 AM
Bitcoin ETFs See Record Inflows as Core DAO Faces Protocol Glitch
2 Sep · 9:06 PM
Bitcoin Reclaims $80,000 Amid Fed Rate Pause Signal, Short Sellers Liquidated
3 Sep · 4:46 PM
Capital B Raises €7.6M From Adam Back to Fund Bitcoin Buys
2 Sep · 6:45 PM