Morgan Stanley, the global banking giant managing $7.4 trillion in assets, has reported modest holdings in XRP exchange-traded funds (ETFs) in a recent SEC filing. The bank disclosed 1,700 units of the Volatility Shares XRP ETF and 100 units of the Grayscale GXRP ETF. While the positions are small, they signal growing institutional interest, as XRP ETFs have attracted $31.8 million in weekly inflows and a total of $1.41 billion to date.
Morgan Stanley has revealed exposure to XRP ETF products in its Q1 2026 13F report filed with the U.S. Securities and Exchange Commission. The bank holds 1,700 units of the Volatility Shares XRP ETF and 100 units of the Grayscale XRP ETF (GXRP).
Although these holdings are minor compared to Bitcoin and Ethereum ETFs, they indicate XRP ETFs are entering the portfolios of large institutions. This early adoption by a leading financial firm highlights a significant trend in the evolving market.
Market data shows rising demand for XRP-based ETFs. According to SoSoValue, XRP ETFs saw over $31.8 million in net inflows last week.
On May 28, XRP ETFs gained $1.77 million in a single day, a day when Bitcoin and Ethereum ETFs experienced outflows. The total inflows into XRP ETFs now stand at approximately $1.41 billion.
Despite this investment, Morgan Stanley has delayed plans for its own XRP ETF. The firm is reportedly focusing on more conventional cryptocurrency-related investment opportunities until regulatory clarity improves.
It currently provides clients exposure through existing ETFs rather than dealing with digital currencies directly. This cautious approach reflects the ongoing regulatory environment for digital assets.
At the time of writing, XRP is trading at $1.32. Its market capitalization is $82.08 billion, according to CoinMarketCap.
The continued institutional adoption of XRP ETF products, as seen with Morgan Stanley, suggests a slow but steady increase in mainstream acceptance.
