XRP Spotlight: Brazil’s B3 Debuts Pioneering Spot ETF

Key Takeaways:

• On April 25, 2025, Brazil’s B3 exchange launched XRPH11, the first spot XRP ETF worldwide.
• Managed by Hashdex and administered by Genial Investments, the fund mirrors the Nasdaq XRP Reference Price Index.
• Brazil’s CVM approved the product swiftly in February, following its landmark Solana ETF nod in August 2024.
• XRPH11 commits at least 95% of its assets to XRP, charging a 0.7% management fee and 0.1% custody fee.
• The U.S. market still awaits SEC approval for spot XRP ETFs, making Brazil’s launch a live case study for global regulators.

Trailblazing Debut on B3

On April 25, 2025, XRPH11 began trading on B3, marking the first time investors anywhere could access a regulated spot XRP ETF. Within hours of its inauguration, trading volumes reflected robust interest from institutional and sophisticated retail participants alike.

This landmark debut not only cements Brazil’s role as a crypto innovation hub but also provides a benchmark for how major exchanges can integrate digital assets into mainstream portfolios.

• Historic Launch: XRPH11’s arrival on B3 represents the world’s inaugural spot XRP ETF, opening a new avenue for regulated crypto exposure.
• Immediate Demand: Strong early trading activity signaled appetite from both institutions and advanced retail investors.

Behind the Scenes: ETF Mechanics and Custody

Hashdex, a leading global crypto asset manager, structures XRPH11 to track the Nasdaq XRP Reference Price Index (NQXRP). Genial Investments Securities Brokerage SA oversees fund administration, while Genial Bank SA handles custody, ensuring that XRP holdings and related instruments are securely stored. The multi-party governance framework combines expertise in traditional finance and digital assets, delivering transparency around asset segregation, daily NAV calculations, and redemption processes.

Green Light from the CVM: Rapid Approval Journey

In February 2025, Brazil’s Securities and Exchange Commission (CVM) granted its formal approval for the XRP spot ETF, less than six months after authorizing Hashdex’s spot Solana ETF in August 2024. Regulators emphasized their commitment to fostering innovation while safeguarding investors, citing rigorous due diligence on Hashdex’s operational procedures, cybersecurity protocols, and market surveillance mechanisms.

The expeditious review contrasts sharply with lengthy approval timelines seen in other jurisdictions, highlighting Brazil’s willingness to pioneer regulated crypto products.

• Speedy Authorization: CVM’s approval came within months of its first crypto ETF nod, demonstrating regulatory agility.
• Investor Protections: Due diligence focused on cybersecurity, custody safeguards, and real-time market monitoring.

Explore XRPH11: Key Insights

XRPH11 allocates at least 95% of net assets to XRP and directly-linked derivatives based on the Nasdaq XRP Reference Price Index, while reserving up to 5% for futures or cash equivalents to manage liquidity and closely track spot market movements without requiring self-custody or direct exchange access. The ETF imposes a competitive 0.7% annual management fee plus a 0.1% custody fee, with no one-off structuring or performance fees, mirroring established equity ETF cost profiles to make regulated XRP exposure both affordable and user-friendly.

Genesis of the Fund: From Inception to Launch

According to CVM filings dating December 10, 2024, the Hashdex Nasdaq XRP Index Fund entered a preparatory phase involving legal structuring, index licensing agreements, and IT integration across B3’s trading and settlement systems. Internal stress tests simulated market volatility scenarios to validate operational resilience. Ripple’s Latin America head, Silvio Pegado, praised Brazil’s forward-thinking stance, noting that XRP’s utility as a settlement asset made it an ideal candidate for ETF tokenization.

Ripple in the U.S.: Regulatory Aftershocks

While Brazil moves ahead, U.S. investors linger in anticipation. Following March 2025’s Ripple-SEC settlement—where Ripple paid $50 million toward a $125 million penalty—legal hurdles have diminished but not vanished. The SEC continues to evaluate spot XRP ETF proposals, weighing concerns over token classification and market surveillance agreements. Brazil’s live experiment with XRPH11 could offer valuable data to inform SEC deliberations and shape future U.S. approvals.

Looking Ahead: Institutional Appetite and Market Ripples

Analysts at JPMorgan project that approved spot XRP and Solana ETFs in major markets could cumulatively attract up to $14 billion within their first year. XRPH11’s initial net assets of nearly $40 million signal that demand for regulated XRP exposure is tangible and growing. As more jurisdictions observe Brazil’s experience, they may calibrate their own frameworks to accommodate digital assets, potentially ushering in a new era of crypto-linked investment products.

More News: Brazil Makes History: First XRP Spot ETF Passes, Local Bank Seeks XRPL Stablecoin

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