Institutional Recognition Beyond Price Speculation
Tyler Hill, co-founder and CEO of Fluence, finds something particularly interesting about Franklin Templeton’s recent comments on XRP. It’s not the potential price impact that catches his attention, but rather the institutional validation itself. The $1.6 trillion asset manager launched its Franklin XRP ETF (XRPZ) in late November and described XRP as playing a “foundational role in global settlement infrastructure.”
That’s a significant statement from such a major player. David Mann, Head of ETF Product and Capital Markets at Franklin Templeton, emphasized this point in the fund’s announcement. He noted that XRPZ offers investors a regulated way to access an asset that facilitates the movement of money across borders quickly and at low cost.
A Shift in Institutional Sentiment
What Hill seems to be getting at is the broader narrative shift. For an asset that faced widespread delistings in late 2020 and early 2021 due to the SEC’s lawsuit against Ripple, this represents quite a turnaround. Throughout the four-year legal battle, most institutions avoided XRP entirely, wary of regulatory uncertainty.
Now, Franklin Templeton isn’t just offering exposure through an ETF wrapper—they’re actively promoting XRP’s utility in global payments. The XRPZ ETF has attracted $132.3 million in net inflows since launch, contributing to a total of $887 million across all four XRP ETFs currently available.
Rebuilding Infrastructure Exposure
Hill suggests this development indicates something larger: institutions are quietly rebuilding their exposure to digital assets that operate at the infrastructure layer of global finance. These are projects that support payment rails, settlement systems, and cross-border value movement—exactly where XRP positions itself.
Franklin Templeton isn’t alone in this recognition. Other financial institutions like Bitwise, Grayscale, and Canary Capital have also launched XRP ETFs. Meanwhile, organizations like the Institute of International Finance, the International Monetary Fund, and the US Faster Payments Council have all noted XRP’s potential in cross-border payments.
Corporate Treasury Interest Grows
The institutional interest appears to be spreading beyond investment products. Some firms are exploring corporate XRP treasuries. In June, Webus International filed with the SEC to launch a $300 million XRP treasury. Other companies including Reliance Group, Trident Digital, VivoPower, and Evernorth have expressed similar interest.
Perhaps what’s most telling is the contrast between where XRP was a few years ago and where it stands now. The regulatory cloud hasn’t completely lifted, but major financial players are willing to engage with the asset again. They’re not just speculating on price—they’re acknowledging its potential role in financial infrastructure.
I think Hill’s perspective makes sense. Price movements get most of the attention in crypto, but institutional adoption patterns might tell a more important story about long-term viability. When a firm like Franklin Templeton uses language like “foundational to global settlement,” it suggests they see something beyond short-term trading opportunities.
Of course, this doesn’t guarantee anything about XRP’s future price or regulatory status. But it does indicate a shift in how traditional finance views certain crypto assets. The focus seems to be moving from pure speculation to actual utility and infrastructure potential.
