21Shares XRP ETF loses 54% of assets as redemptions lock in $13.4 million loss
The 21Shares XRP ETF misplaced greater than half its property throughout the first six months of 2026 as falling XRP costs collided with heavy redemptions that crystallized $13.36 million in losses.
TOXR ended June with $112.9 million in web property, down 54.4% from $247.7 million on the finish of December, its Aug. 11 quarterly submitting showed. XRP fell 42.9% to $1.0431 over the identical interval, whereas the fund’s excellent shares dropped 20% to 11.11 million from 13.89 million.
The distinction exhibits how investor withdrawals amplified the harm from XRP’s worth decline.
TOXR recorded $75 million of redemption distributions throughout the half in opposition to $25.5 million contributed by way of creations, leaving the fund with $49.5 million in adverse web capital transactions. It issued 1.47 million shares whereas 4.25 million have been redeemed.
These redemptions additionally pressured a part of the fund’s XRP holdings to be realized at a loss. TOXR acknowledged $13.36 million of losses on XRP disposed of for redemptions, whereas one other $71.52 million of depreciation remained unrealized on tokens it continued to carry.
Q2 restoration failed to provide sustained demand
The fund’s redemption stress eased sharply throughout the second quarter, however subsequent flows counsel the advance didn’t develop right into a broader restoration.
Per the submitting, the primary quarter accounted for 4.03 million of the 4.25 million shares redeemed throughout the half and $11.68 million of the $13.36 million realized redemption loss.
Between April and June, TOXR as a substitute created 480,000 shares and redeemed 220,000, producing web issuance of 260,000 shares. Even with that enhance, the fund’s NAV fell 20.56% throughout the quarter as XRP declined 22.37%.
Nonetheless, that stabilization has remained fragile regardless of XRP-linked funds performing strongly within the present market situations.
CryptoSlate beforehand reported that XRP funds are at present on a four-month influx streak that has drawn round $300 million.
Throughout this era, TOXR has carried out weakly, registering lower than 5 days of influx value round $6 million, whereas its cumulative web circulate since launch has fallen to roughly -$20 million. Notably, the fund is the one US spot XRP ETF with adverse cumulative flows.
On the identical time, its share depend stood at 11.12 million on Aug. 11, solely 10,000 above its June degree.
In the meantime, 21Shares reported $109.58 million in property, under the $112.9 million recorded at quarter-end, leaving the fund smaller even after the second quarter’s temporary enchancment in creations.
