Roundhill Trust Amends XRP ETF Filing as Spot Funds Extend Inflows Streak To 30 Days

Roundhill Trust has filed a revised SEC filing regarding its listed covered XRP ETF offering. This comes at a time when U.S. spot funds associated with the token remain at 30 days of consecutive inflows with no outflows reported yet. This marks a positive for XRP, which is seeing increased demand as balances on exchanges have also dropped to new lows. 

Roundhill Expands Options Strategy For Its XRP ETF

The company has filed a Form 485BXT amendment to the U.S. Securities and Exchange Commission. It amended the registration information regarding the Roundhill XRP Covered Call Strategy ETF.

Notably, this fund is not linked to the custody of spot XRP. So, it would basically be used to earn profits through the already launched ETFs of the altcoin. This makes an alternative option for investors who would like to invest without directly holding the product.

A covered call ETF is where the income that is created comes from the sale of call options on a portfolio position. Here, the ETF aims to allocate at least 80% of its net assets to options linked to XRP ETFs.

It’s worth mentioning that in September, Grayscale also launched an Ethereum Covered Call ETF (ETCO) product that aims to profit from ETH volatility through an options-playing strategy.

Spot XRP Funds Extend Inflow Streak to 30 Days

XRP exchange-traded funds in the U.S. have posted a 30-day streak of net inflows despite overall weakness in the markets.

As per data by SoSoValue, the total net inflows of spot XRP funds on December 30 amounted to $15.55 million. This took the cumulative inflows to about $1.16 billion since the launch. This is despite the total assets under management being at $1.27 billion, which is close to the previous level despite selling pressure in the crypto market.

While the daily inflows eased from the peak seen in December, the momentum is still holding strong before the end of the month. In all, the XRP-based funds saw the attraction of around $493.5 million in December. Meanwhile, Glassnode data shows that XRP balance on exchanges has dropped to new lows, indicating an accumulation trend among investors. 

The steady inflows for the ETFs are in line with predictions made by analysts earlier. In August, Dom Kwok, a co-founder at EasyA, predicted that the approval of the XRP ETF could see a substantial capital influx. He added that XRP trails only behind Bitcoin and Ethereum in terms of tradable market liquidity.

Meanwhile, spot Bitcoin ETFs broke their seven-day outflow streak, recording a net inflow of $355 million. Ethereum ETFs also saw a net inflow of $67.84 million. It is worth mentioning that XRP recently received praise from Franklin Templeton’s Head of Digital Assets, Roger Bayston, who stated that they view the token as a “foundational building block” given its market cap significance.