Fox Business journalist Eleanor Terrett has reported that XRP depository receipts (DRs) will soon be available for purchase by accredited investors.
According to her announcement on social media, the initiative is being facilitated by Receipts Depository Corporation and DWP Capital, with the assets being held by Anchorage Digital Bank, a federally chartered institution regulated by the U.S. Office of the Comptroller of the Currency (OCC).
🚨SCOOP: $XRP depository receipts will soon be available for purchase by accredited investors through @ReceiptsDepo and @DWP_advisors , @FoxBusiness has learned.
Much like traditional ADRs (American Depository Receipts) that represent shares of foreign companies, the XRP DR…
— Eleanor Terrett (@EleanorTerrett) February 7, 2025
The introduction of XRP DRs represents an important development for investors seeking indirect exposure to XRP without purchasing the asset directly through a cryptocurrency exchange.
These financial instruments function similarly to American Depository Receipts (ADRs), allowing investors to buy shares of foreign companies without directly trading on international stock exchanges.
In this case, the XRP DRs enable institutional and accredited investors to gain exposure to XRP while maintaining a structure familiar to traditional finance (TradFi) participants.
This is part of integrating decentralized finance (DeFi) assets immigration into conventional financial markets. By providing a bridge between TradFi and DeFi, these DRs allow investors to access digital assets in a manner that aligns with existing regulatory frameworks and investment structures.
Institutional Custody and Regulatory Oversight
A key component of this initiative is the involvement of Anchorage Digital Bank, which will serve as the custodian of the underlying XRP assets.
Anchorage is a federally chartered digital asset bank regulated by the OCC, providing an additional layer of security and compliance oversight. This could make XRP DRs more appealing to institutions and accredited investors who prioritize regulatory compliance and secure custody solutions.
By leveraging Anchorage’s custody services, the XRP DRs will be structured in a way that ensures the assets remain under the supervision of a federally regulated entity. This approach aligns with the increasing demand for institutional-grade infrastructure in the digital asset space.
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Comparisons to ETFs and Market Impact
Terrett’s report highlights that XRP DRs share similarities with exchange-traded funds (ETFs), particularly in their ability to expose an asset without requiring direct ownership or exchange-based transactions.
While they are not ETFs in a strict sense, their function as a structured financial product could attract investors who prefer traditional investment vehicles over direct cryptocurrency holdings.
Despite the introduction of new financial instruments and other recent positive developments in the XRP ecosystem, some market participants remain concerned about the asset’s price performance.
An X (formerly Twitter) user, OneLove, responded to Terrett’s announcement by questioning why bullish news has not been reflected in XRP’s market price, hinting at the possibility of market manipulation. This sentiment echoes broader discussions within the cryptocurrency community regarding price movements and external influences.
While the impact on XRP’s market price remains to be seen, the introduction of XRP DRs reflects the growing interest in integrating digital assets into traditional financial frameworks. The continued expansion of regulated investment products for digital assets may shape the future of institutional participation in the cryptocurrency market.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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