TL;DR
- Nate Geraci called BlackRock’s decision to avoid an XRP ETF “highly risky” and expects the firm to launch additional crypto funds eventually.
- BlackRock remains firmly focused on Bitcoin and Ethereum, while XRP ETFs hold $1.40 billion versus $98.63 billion for Bitcoin and $15.13 billion for Ethereum.
- Steven McClurg suggested XRP funds may need $3 billion before attracting BlackRock, while Geraci believes delaying could leave competitors established first.
BlackRock’s refusal to file for a spot XRP ETF is drawing criticism from ETF Store President Nate Geraci, who called the position “highly risky.” While rivals are pursuing crypto funds beyond Bitcoin and Ethereum, BlackRock remains concentrated on those two assets. Geraci argues that BlackRock is effectively betting no other crypto asset has enough value to justify a fund. He still expects the firm to “capitulate” eventually and launch additional spot crypto ETFs, despite its current strategy of limiting exposure to BTC and ETH products. That stance stands out as the broader ETF market expands.
Still wild to me that BlackRock is refusing to launch spot crypto ETFs other than btc & eth…
Not even an index-based crypto ETF.
Given massive success of IBIT, ETHA, & ETHB, they’re basically making a market call that no other crypto assets have enough value IMO.
Seems highly…
— Nate Geraci (@NateGeraci) August 27, 2026
XRP’s ETF market still looks small beside Bitcoin and Ethereum
BlackRock’s activity helps explain the caution. Wallets linked to the asset manager withdrew $312 million from Coinbase Prime in one day, with $282 million directed to wallets associated with its IBIT Bitcoin fund and $30.6 million split between ETHA and ETHB. The numbers show why Bitcoin and Ethereum remain the company’s immediate priority: both already support deep, liquid businesses at institutional scale. Rather than expanding quickly across altcoins, BlackRock appears content to concentrate on markets where demand, liquidity and revenue are already substantial and clearly established. Its allocation behavior still points firmly toward familiar assets.
Scale is the clearest obstacle for XRP. U.S. spot XRP ETFs currently hold $1.40 billion in total net assets, compared with $98.63 billion for Bitcoin ETFs and $15.13 billion for Ethereum ETFs. Canary Capital CEO Steven McClurg said BlackRock may not pay attention until competing XRP funds reach a stable $3 billion in assets. That threshold would provide stronger evidence of sustained institutional demand rather than early enthusiasm. Other altcoin funds remain smaller, with Solana at $1.26 billion, multi-asset HYPE ETFs at $419.48 million and DOGE ETFs at $12.37 million at this stage alone.
BlackRock’s broader approach is depth over breadth. Its digital-asset executives have repeatedly emphasized helping conservative clients access Bitcoin and Ethereum instead of building hundreds of altcoin products, particularly because many traditional investors have not entered crypto at all. The strategic risk is that waiting allows competitors to establish XRP products first, even if BlackRock could enter later with significant brand power. Geraci believes that eventual expansion remains likely, while BlackRock appears willing to let rivals test demand, absorb early regulatory risks and demonstrate whether XRP can mature into a market large enough to justify its participation.
