XRP Spot ETFs the Next Big Investment? 3iQ's CEO Pascal St-Jean Explains

July 28, 2025
Author: 3iQ Team

In a recent interview with POW Group, Pascal St-Jean, President and CEO of 3iQ, broke down the significance of Canada’s largest XRP spot ETF, XRPQ. The discussion covered everything from the fund’s early performance to how 3iQ collaborated with Ripple, what differentiates XRP from other digital assets, and why this ETF matters for both institutional and retail investors.

As one of Canada’s leading digital asset managers, 3iQ has long been at the forefront of regulated crypto exposure. From launching the first Bitcoin and Ethereum ETPs listed on a major global stock exchange to this new XRP fund, the company continues to shape the future of crypto investing.

Let’s unpack what was revealed during the interview and why XRPQ could be a defining product in the next phase of digital asset adoption. 

Why XRP and Why Now? 

The 3iQ XRP ETF, trading under the ticker XRPQ on the Toronto Stock Exchange, allows investors to gain direct exposure to XRP, the native cryptocurrency of the XRP Ledger. Unlike futures-based ETFs, a spot ETF holds actual XRP tokens, giving investors more accurate price tracking and transparency.

According to St-Jean, XRP stands out among digital assets because of its established infrastructure, global use cases, and the strength of its developer ecosystem. While other altcoins come and go, XRP remains one of the “blue chip” crypto assets that institutional investors increasingly trust.

“Bitcoin’s been holding strong, Solana and XRP are in healthy patterns, and we’re seeing significant institutional capital flow into the winners of this cycle,” said St-Jean.

What makes this moment particularly important is the growing institutionalization of the crypto market. With more regulated products available and better custodial solutions in place, institutions are becoming more comfortable allocating to digital assets like XRP. 

Working with Ripple: Clarifying the Relationship 

One of the highlights of the interview was St-Jean’s perspective on working with Ripple, the company behind many of XRP’s use cases.

“We worked with Ripple during product development to ensure strong liquidity and operational support,” he explained. “But XRPQ is an investment product focused on XRP as a decentralized digital asset.”

This clarification is critical. Ripple is a company that uses XRP for enterprise-grade solutions, but the asset itself functions independently on an open-source blockchain. Investors in XRPQ are investing in XRP the asset, not Ripple the company.

Security, Compliance, and Investor Protections

Trust is essential in a rapidly evolving industry like crypto. St-Jean emphasized that 3iQ’s ETFs are built with top-tier safeguards to ensure investor confidence.

These include: 

  • Cold storage with institutional-grade custodians
  • Daily NAV reporting and full transparency
  • Multi-signature wallets for added protection
  • Regulated structure under Canadian securites laws

“We’re seeing a broader range of investors getting involved,” St-Jean said. “That speaks to how far compliance and infrastructure have come in the crypto ETF space.” 

Fee Structure and Performance 

3iQ has kept the fee structure competitive to ensure accessibility.  Just weeks after its launch, XRPQ hit a new all-time high, reflecting both growing demand and bullish sentiment across crypto markets.

St-Jean noted that while Ethereum has underperformed this year, XRP and Solana have remained strong. XRPQ’s timely launch has allowed investors to participate in that momentum through a regulated, liquid product.

How Does XRPQ Compare to Other Crypto ETFs?

While Bitcoin and Ethereum ETFs were the early trailblazers, XRPQ offers investors a new layer of diversification.

“Ethereum has had a slower year,” said St-Jean, “but XRP is holding strong, and it’s proving to be one of the winners attracting both retail and institutional capital.”

By offering a spot-based structure and institutional-grade custody, XRPQ presents a different risk-return profile that may appeal to investors who want exposure beyond Bitcoin or Ethereum.

The U.S. Outlook: Will XRP Spot ETFs Follow?

Inevitably, the conversation turned to whether the U.S. will approve an XRP spot ETF.

“We’re watching the U.S. timelines closely,” St-Jean said. “But Canada continues to offer a clear, regulated framework for launching innovative crypto ETFs. That gives us the advantage of moving quickly while maintaining compliance.”

Until U.S. regulators catch up, Canada remains the best place for institutional and retail investors to access a regulated XRP investment product.

Final Thoughts: A New Era of Regulated XRP Access

The launch of XRPQ by 3iQ is more than a market event—it is a signal that crypto is entering a new phase of adoption, especially in regulated environments like Canada.

By combining regulatory compliance, asset security, and seamless access to one of crypto’s most traded assets, XRPQ gives investors a powerful new tool.

As institutions continue to enter the space and investors look to diversify beyond Bitcoin and Ethereum, XRPQ could become a key component in the next generation of digital asset portfolios.

Watch the full interview with Pascal St-Jean.

Disclosure

This content is for informational purposes only. Please see disclosures at https://www.3iq.io/content-disclosures