XRP ETF Net Assets Fall $81 Million Despite New Investor Money

TLDR

• Canary Capital’s XRP ETF saw net assets fall by $81.6 million in the first half of 2026.
• Investors added $82.4 million through capital-share transactions during the same period.
• Falling XRP prices caused $159.7 million in unrealized losses, wiping out the gains from new investment.
• The fund’s XRP holdings grew 31.7%, rising from 175.6 million to 231.3 million tokens.
• Net assets dropped from $322.8 million to $241.2 million between December 2025 and June 2026.

Canary Capital’s XRP ETF ended the first half of 2026 with less money in the fund, even though investors put more money in.

The fund, which trades under the ticker XRPC, filed an unaudited report on August 7. It showed net assets falling from $322.8 million to $241.2 million over six months.

That drop happened even though capital-share transactions added $82.4 million to the fund. Falling XRP prices caused the fund to lose value faster than new money could replace it.

How the Losses Added Up

The fund’s accounting shows two forces pulling in opposite directions. Capital-share activity, which includes shares being sold and redeemed, added $82.36 million.

At the same time, the fund’s operations caused a $164 million decrease. Most of that came from unrealized depreciation on the XRP the fund already held.

Unrealized depreciation alone accounted for $159.7 million of that loss. The rest came from $3.59 million in realized losses and a $716,898 net investment loss.

These are all unaudited figures covering the full six month period, not just the second quarter.

Shares sold brought in $88.26 million. Shares redeemed took out $5.90 million. The fund can settle these orders in cash or in XRP itself, and the filing does not say how much of each was used.

More Tokens, Less Value

The clearest sign of the mismatch shows up in the fund’s token count. XRPC held 231.3 million XRP at the end of June.

That is up from 175.6 million XRP at the end of December 2025. The increase works out to 31.7% more tokens in six months.

But owning more XRP did not mean owning more dollars. As the price of XRP fell, the larger pile of tokens was worth less in total than the smaller pile had been worth before.

The fund also had to sell some of its XRP to cover investor redemptions. It sold 3.93 million XRP during the period.

That sale resulted in a $3.26 million realized loss for the fund itself. This loss applies to the fund’s own books and does not reflect what any single investor experienced.

Net capital-share activity stayed positive throughout the six months. Redemptions never outpaced new share creation.

But the size of the accounting decrease from operations was almost double the size of the new capital coming in. Falling prices overwhelmed the fund’s growth in investor demand.

The result is a fund that ended the first half of 2026 holding more XRP than it started with, but worth $81.6 million less overall.

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