Hong Kong-based asset manager HashKey Capital has launched Asia’s first XRP Tracker Fund, giving institutional investors regulated exposure to XRP without the need for direct crypto ownership.
The HashKey XRP Tracker Fund is designed to replicate the performance of XRP, the digital asset behind Ripple’s global payment network. Professional investors can subscribe or redeem shares monthly, using cash or in-kind contributions. The fund’s performance will be benchmarked against CF Benchmarks, a leading digital asset index provider.
Ripple, developer of the XRP Ledger, has taken an anchor position in the fund—signaling a deepening partnership with HashKey Capital. The collaboration includes plans to develop additional investment products in cross-border payments, decentralized finance (DeFi), and enterprise blockchain solutions.
XRP Tracker Fund Boosts Institutional Crypto Adoption
The XRP Tracker Fund marks HashKey Capital’s third digital asset product, following its Bitcoin and Ethereum ETFs listed on the Hong Kong Stock Exchange. The launch aligns with the firm’s broader strategy to bridge traditional finance with regulated crypto investment vehicles across Asia.
“Ripple offers us the opportunity to collaborate on more investment products and solutions across cross-border payment solutions, decentralized finance (DeFi), and enterprise blockchain adoption,” said Vivien Wong, partner at HashKey Capital.
Industry leaders see the launch as a milestone for XRP’s institutional adoption. Hank Huang, CEO of Cronos Research, noted that regulated and transparent vehicles like HashKey’s fund are key to unlocking institutional capital.
“XRP’s proven use case in cross-border payments, combined with HashKey’s robust infrastructure, sets the stage for meaningful capital inflows and wider acceptance of crypto assets in global finance,“ Huang said.
ETF Ambitions Reflect Broader Crypto Market Trends
HashKey Capital has stated its goal of converting the tracker fund into a full-fledged ETF within the next two years, subject to regulatory approval. This move reflects a broader trend as firms globally race to launch spot XRP ETFs, anticipating significant institutional inflows once such products receive the green light.
As the U.S. Securities and Exchange Commission (SEC) progresses in reviewing multiple applications, a growing number of financial institutions are positioning themselves to introduce XRP-based exchange-traded funds (ETFs). This surge in interest reflects a broader industry trend toward offering regulated investment vehicles for digital assets.
Bitwise Asset Management has taken a significant step by filing for a spot XRP ETF, with the SEC formally acknowledging the application. This acknowledgment initiates a review period, signaling potential regulatory acceptance. The proposed ETF aims to provide investors with direct exposure to XRP, utilizing Coinbase Custody for asset storage and CF Benchmarks for pricing.
Several other asset managers have submitted applications for XRP ETFs, including Grayscale, 21Shares, WisdomTree, Franklin Templeton, and Canary Capital. These firms are seeking to capitalize on the growing demand for crypto investment products.
Quick Facts
- HashKey Capital has launched Asia’s first XRP Tracker Fund for institutional investors
- Ripple is the anchor investor, strengthening its partnership with HashKey
- The fund allows monthly subscriptions and redemptions, benchmarked to CF Benchmarks
- Plans are underway to convert the fund into an ETF within two years
