Key Points
- Franklin XRP ETF holds 293.1 million XRP.
- In the third quarter, the fund increased its holdings of XRP by 30%.
- XRP The investment value is still $61.8 million lower than the purchase cost.
Franklin Templeton disclosed that it holds over 293 million XRP, valued at approximately $439.7 million. This indicates that despite the ongoing volatility in the digital asset market, the asset management firm's exposure to crypto assets has still significantly increased.
According to the documents submitted by Franklin XRP ETF to the U.S. Securities and Exchange Commission (SEC) on November 13th, this fund, which is listed on NYSE Arca with the trading code XRPZ, held 293,112,265 units of XRP as of September 30, 2026.
Franklin XRP ETF 67.7 million new tokens added in the third quarter
Franklin's XRP holdings increased from 225.37 million on July 1 to 293.11 million on September 30, representing a growth of about 30.1%.
The fund purchased 26.6 million XRP for new share subscriptions and additionally obtained 41.25 million tokens through physical payment. Approximately 108,834 XRP were sold to cover expenses.
During this quarter, there were no records of XRP sales or physical distributions related to shareholder redemptions.
This growth contrasts with the situation of XRP ETF recently disclosed by 21Shares. The latter shows that after investors redeemed their tokens, its holdings dropped to approximately 107.3 million tokens.
As of September 30th, the circulating shares of Franklin's ETF have increased to 27 million shares, compared to 14.7 million shares at the end of March.
Previously, disclosures from Morgan Stanley XRP ETF also indicated that traditional financial institutions can obtain exposure to cryptocurrencies through regulated fund shares, rather than directly holding tokens.
Franklin's XRP position is still $61.8 million lower in cost.
Despite increasing its holdings of more tokens, the investment value of Franklin's XRP is still lower than its cumulative purchase cost.
The document shows that the total cost basis for XRP is $501.43 million, while as of September 30th, its fair value was $439.67 million, resulting in a difference of approximately $61.76 million, which is about 12.3%.
This does not represent the realized losses achieved by selling the underlying positions.
The fund also recorded an unrealized appreciation of $112.73 million in the third quarter, indicating that although XRP as a whole remains below the total cost base, its valuation improved during that period.
Franklin's fund net asset value has reached $439.61 million, which is equivalent to $16.28 per share of ETF.
This contrast is similar to the XRP investment portfolio previously disclosed by Grayscale, which showed that token balances and market valuations may move in different directions.
What does this SEC file mean to XRP?
Franklin's latest disclosure shows that the fund continued to expand in the third quarter, but this should not be interpreted as new purchases in November.
The quarter ended on September 30th, far ahead of the latest XRP ETF capital outflow report, as well as the subsequent decline in the price of that cryptocurrency.
The fund uses Coinbase Custody Trust Company to hold its XRP. Bank of New York Mellon (BNY Mellon) provides administrative management, transfer agency services, and cash custody. The annual initiator fee rate is 0.19%.
The continuously expanding position of this fund has added a new dimension to the broader institutionalized XRP ETF market. However, holding shares of ETF does not necessarily imply an unhedged bullish bet.
The recent weakening of the price of XRP also means that the valuation for September cannot be considered as the fund's current market value.
