Goldman Sachs leads Jane Street in XRP ETF positions

Goldman Sachs led the institutional positions of XRP ETFs in the second quarter, and Wall Street consolidation accelerated

Among the institutional investor positions of XRP exchange-traded funds (ETFs) announced in the second quarter, Goldman Sachs Group ranked first. As of June 30, the banking institution's exposure reached $87.45 million, significantly ahead of Jane Street and Millennium Management. Overall, the total value of shares held by identified banking institutions is US$183.5 million. These numbers confirm the integration process of XRP products on Wall Street, but they do not necessarily mean that these companies are directly optimistic about the rise in cryptocurrency prices.

Quick overview of core points

• Goldman Sachs dominated institutional positions with a US$87.45 million stated XRP ETF position.
• Jane Street and Millennium Management ranked second and third respectively, which is far behind the leading Bank of America.
• The filing data on Form 13F does not prove that the institution is holding a bullish bet on XRP.
• XRP ETF continues to grow, with net assets close to US$1.48 billion.
• Institutional positions still account for a minority, accounting for approximately 12.4% of the net assets of the XRP ETF.

Goldman Sachs holds nearly half of known positions

Although capital inflows into XRP ETFs hit a record high, relevant statistics are derived from Form 13F. These returns allow a census of various positions held by U.S. fund managers who manage at least $100 million in eligible assets.

Goldman Sachs controls the equivalent of nearly 80.05 million XRPs. According to the data provided, the bank increased its holdings of approximately 83.15 million tokens during the quarter. The rankings of the top five banks reveal Goldman Sachs 'lead:

• Goldman Sachs holds $87.45 million in XRP ETF shares;
• Jane Street ranks second with $16.64 million;
• Millennium Management follows closely with $16.2 million;
• Intesa Sanpaolo reported exposure of $14.42 million;
• Marex UK Holdings completed the top five list with US$8.12 million.

It can be seen that Goldman Sachs accounted for approximately 48% of the total reported exposure of US$183.47 million. The top three companies pooled nearly $120.3 million in funds, accounting for about two-thirds of the census total. As a result, investment advisers dominate the various categories, holding $120.89 million, surpassing hedge fund managers holding $25.08 million. Brokers and banks reported positions of $17.85 million and $14.83 million, respectively.

Bloomberg Intelligence analyst James Seyffart pointed out: "Who are the major holders of spot XRP ETFs? The following is the 13F filing data for the second quarter. Goldman Sachs, Jane Street and Millennium are at the top."

The filing data is not conclusive evidence of a bullish XRP

Goldman Sachs 'Form 13F filed with the Securities and Exchange Commission (SEC) covers positions as of June 30. The data was released on August 14 and shows the true status of the bank's institutions 'positions.

Banks report ETF shares rather than XRP tokens held directly in their wallets. Fund managers also do not obtain personal ownership of the tokens held by the fund. It is worth noting that these positions serve multiple purposes. Banks may acquire shares, facilitate transfers or engage in arbitrage activities for customers. Companies like Jane Street may also act as market makers.

In addition, Form 13F does not cover all hedging strategies. A bank may reduce risk through futures, options or other instruments while holding shares in an XRP ETF. As a result, Goldman's $87.45 million exposure cannot simply be regarded as recent XRP acquisitions, nor can it prove that the bank still holds this exposure. The next return, expected in November, will show the progress of these positions.

Institutional capital is still a minority among ETFs

As of September 4, the net assets of the XRP ETF were close to US$1.48 billion. Indeed, its cumulative net inflows have reached approximately $1.68 billion, according to SoSoValue.

The US$183.47 million visible in institutional filings represents only approximately 12.4% of net assets. As a result, most holders do not appear in the rankings. Individual investors and institutions not subject to Form 13F constitute the main body of the market.

The flow of funds also increased after the declaration coverage date. Since August 18, ETFs have recorded eleven consecutive positive income trading days. This series of inflows is close to US$170 million. On September 3, the product collected another $6.14 million. Franklin Templeton led gains with $3.19 million, followed by Bitwise with $2.95 million. Since then, there were no new capital inflows on September 4.

The existence of Goldman Sachs, Jane Street and Millennium proves that XRP ETFs are now used by major financial players. This represents a signal for adoption of regulated products, but does not yet constitute evidence of bullish belief in the sustainability of XRP.