CryptoSlate
XRP is losing ground on every measurable demand layer at once, even as the ledger it powers quietly hosts one of the larger institutional tokenization stacks in crypto. US spot XRP ETFs recorded roughly $7.2 million in net outflows for the week ended July 10, ending a nine-week inflow streak that had pulled nearly $200 million into the products, according to SoSoValue. Combined ETF AUM now sits near $1 billion on cumulative inflows of $1.48 billion.
Why it matters
The derivatives tape confirms the cooling. Global XRP futures open interest fell from nearly $3 billion in June to about $2.3 billion by mid-July, with Binance OI alone dropping from above $500 million in mid-June to $399 million on July 10, per CoinGlass and CryptoQuant. Long liquidations surged 94% week-on-week and ran 172% above their three-month average, while short liquidations more than halved. Binance's XRP funding rate climbed 266% over the same week, a warning that the remaining longs are paying up to hold size in a thinning book.
On-chain activity is concentrating rather than growing. Santiment logged the XRPL's second-quietest day of 2026 at 25,350 active wallets, with new wallet creation collapsing to 2,130, the lowest since November 2024. Yet transaction counts ticked 3-4% higher week-on-week, and Vet reported source-tag transactions up 28.6% as exchanges, custodians, and payment providers churn more volume through shared accounts.
Market impact
The institutional counterweight to that demand pullback is the XRPL's tokenized real-world-asset stack, which Evernnorth pegs at roughly $4 billion spanning more than 500 products. The pending XLS-96 standard would add confidential transfers to Multi-Purpose Tokens using zero-knowledge proofs, plus selective disclosure for regulators and reserved freeze and clawback controls. A May pilot already saw Ondo Finance, Ripple, Mastercard, and JPMorgan's Kinexys settle a tokenized US Treasury leg on XRPL in under five seconds, with the dollar leg clearing through Kinexys and JPMorgan's bank rails.
Frequently asked questions
-
How much did spot XRP ETFs lose in the week ended July 10?
US spot XRP ETFs recorded roughly $7.2 million in net outflows for the week ended July 10, ending a nine-week inflow streak that had pulled nearly $200 million into the products, according to SoSoValue.
-
Why are XRP funding rates rising while open interest is falling?
Binance's XRP funding rate climbed 266% over the week even as global open interest fell from nearly $3B to about $2.3B, because the remaining bullish traders are paying higher premiums to maintain exposure in a contracting derivatives market.
-
What is XLS-96 and why does it matter for XRPL institutions?
XLS-96 is a proposed XRPL standard that would add confidential transfers for Multi-Purpose Tokens using zero-knowledge proofs, selective disclosure for regulators, and retained freeze and clawback controls, addressing the privacy gap that has kept some institutions off public ledgers.
-
How big is the XRPL tokenized real-world-asset pipeline?
Evernnorth puts the XRPL's tokenized RWA stack at roughly $4 billion spanning more than 500 products, with a May pilot from Ondo Finance, Ripple, Mastercard, and JPMorgan's Kinexys settling a tokenized US Treasury leg on XRPL in under five seconds.
-
Could the XRPL institutional pipeline lift demand for XRP?
More tokenized assets, settlement transactions, and financial products on XRPL could strengthen demand for XRP if the token is used for liquidity, transaction fees, collateral, or settlement, but the link is not automatic and depends on issuer and venue design choices.
Crypto Rank News
Crypto News
CoinTelegraph
CoinDesk
TheBlock
Lookonchain
WuBlockchain
Whale Alert