Franklin Templeton's XRPZ ETF Holdings and NAV Discrepancy
Franklin Templeton’s spot Ripple exchange-traded fund, XRPZ, currently holds 53.22 million XRP, valued at approximately $107.08 million. However, its reported net asset value (NAV) stands at just $78.67 million, based on 3,600,000 shares circulating in the market.
November 24-launched XRPZ is still working through liquidity imbalances and structural constraints that come up in the first weeks of trading. An NAV and holdings value mismatch mostly takes place when the value of underlying crypto held in custody exceeds the dollar-denominated asset value calculated at the close of trading. The 36% difference creates a premium between what the assets are worth and what the NAV indicates on paper, seemingly because market demand for the ETF shares has outpaced the ability of authorized participants to create new shares in a timely manner.
Crypto ETFs tied to assets with thinner liquidity profiles experience a lag before creation and redemption flows fully synchronize supply and demand. In XRPZ’s case, the asset’s volatility and the still-developing liquidity infrastructure for US-listed XRP ETFs have amplified these conditions.
XRPZ investors are currently paying a significant amount above NAV to gain exposure to XRP through a regulated fund structure, likely influenced by early arbitrage activity. Creation and redemption arbitrage depends on authorized participants acquiring XRP in the open market and delivering it for ETF share creation, but liquidity bottlenecks can slow the process.
That said, the combined holdings from issuers including Bitwise, Grayscale, and Canary Capital now total $756.26 million after counting over $89 million net inflows during yesterday’s market close.
ETF Volumes and Market Trends
ETF Volumes Balloon in New Spot ETF Enthusiastic Spell
According to December 1 stats from spot ETF tracker SoSoValue, the broader ETF market is slowly recovering from November’s record outflows, with Bitcoin and Ethereum redemptions reaching a combined $4.88 billion.
However, Ripple ETFs have yet to experience a single day of negative flows since the launch of Canary Capital’s XRPC in mid-November. XRPC’s debut on Nasdaq now holds the record for the biggest volume traded by crypto spot ETFs in 2025, posting over $58 million that day.
Some gloom hit the markets after 21Shares announced that its US listing would be postponed due to a “final administrative alignment,” while CoinShares, Europe’s largest digital asset investment firm with a 34% market share on ETPs, pulled back from launching three ETFs in the US.
Last Friday, the company filed to withdraw its registration statements and amendments for three proposed crypto exchange-traded products, including the CoinShares XRP ETF, Solana staking ETF, and Litecoin ETF.
The $10 billion asset manager had previously revealed a $1.2 billion merger with Vine Hill Capital Investment to secure a Nasdaq listing, but has not specified why it abandoned its ETF applications.
XRP Price Performance and Derivatives Market Activity
XRP Price Extends Loss Streak as Derivatives Market Unwinds
XRP’s spot price traded near $2.05 at the time of this reporting after sliding more than 8% within the last seven days. Short-term holders and sellers have pushed the asset into the lower range of its descending channel, fueling a broader downtrend that began after the July-August peak at the $3.65 mark.
The weakening structure coincides with a reduction in open interest on XRP futures markets. According to Coinglass stats, $5.5 million liquidations have clouded the token’s leverage market in the last day, which has dragged open interest by 8.04% to $3.82 billion.
The decline is on the backdrop of several weeks of elevated long ratios in major exchanges, indicating that bullish traders entered aggressively during prior rallies and are now unwinding after repeated failures to break resistance levels.
The long ratios for the top traders on Binance and OKX are very high, between 2.25 and 2.99. This means that there were a lot of long positions, which made the market weak when momentum changed. Liquidation data shows that long-side bets lost more than $3 million, which made hodlers have to lower their exposure.