XRP ETF Shares Appear as Collateral in Schwab Filing

Shares of several spot XRP exchange-traded funds appeared as collateral in a regulatory filing by the Charles Schwab Family of Funds, a disclosure that highlights the growing, though still modest, institutional footprint of XRP-linked products in U.S. markets. A Form NMFP3 filed with the Securities and Exchange Commission on Sept. 8 for the Schwab Prime Advantage Money Fund lists XRP ETF shares among the securities securing repurchase agreements, with the portfolio reported as of Aug. 31. The filing names products from Grayscale, Canary Capital, Franklin Templeton and Bitwise. The disclosure does not mean Schwab bought the XRP ETFs. In a repurchase agreement, a money market fund lends short-term cash to a securities dealer, which posts a basket of securities as collateral and agrees to repurchase them under specified terms. Prime money market funds are not permitted to buy such ETFs directly, and the shares entered the fund's records through these financing arrangements rather than as investment holdings. The total value of the XRP collateral is reported differently across reviews of the filing. One reading counts three line items, roughly $1.