Ripple Prime, the prime brokerage arm of Ripple, is financing leveraged stock ETFs, according to a Wall Street Journal report shared by CoinDesk. In one example, a Tradr fund targeting twice the daily move of Sandisk pays Ripple the overnight bank funding rate plus four percentage points, which CoinDesk estimates at roughly 8% annualized at current rates. Ripple entered the business through its $1.25 billion acquisition of Hidden Road, a multi-asset prime brokerage, in October 2025. According to Morningstar data cited by CoinDesk, the U.S. has 593 leveraged ETFs holding more than $256 billion, including 426 funds tracking individual stocks. This financing fee is separate from the management fee shown on fact sheets and reduces fund returns, while Ripple has not disclosed how much revenue the business generates.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
Open a keyword to see other news on the same topic.
Related tickers and likely impact
XRP/USDT
• NeutralXRP
Relevance: low
| Market | Crypto |
|---|---|
| Exchange | Binance |
| Sector | Layer 1 |
| Market cap | $81.8B |
| Close on 10/20/2026 | 1.33580 |
| Change that session | +2.43% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Double Size, Double Leverage: Why We Supercharged This QQQ Trade
- Global X Investments Canada Inc. Closes the Market
Global X Investments Canada Inc. marked the launch of six PowerStock ETFs on the Toronto Stock Exchange: GOOP (Alphabet), AMZP (Amazon), AAPP (Apple), NVDP (NVIDIA), SPCP (SpaceX) and TSLP (Tesla). The lightly leveraged single-stock ETFs aim to give Canadians about 33% additional exposure to each underlying stock without margin, roughly $133 of stock exposure for every $100 invested. The funds trade in Canadian dollars and hedge foreign currency back to the Canadian dollar. Global X, a subsidiary of Mirae Asset Financial Group, manages over $58 billion in assets and more than 160 ETFs listed in Canada.
- Global X Launches PowerStock ETF Suite to Give Canadians 33% More Exposure to Their Highest Conviction Stocks
Global X Investments Canada has launched six PowerStock ETFs on the TSX, targeting about 33% additional exposure to Alphabet, Amazon, Apple, NVIDIA, SpaceX and Tesla without a margin account. Each fund aims for about 1.33x stock exposure, or roughly $133 of stock for every $100 invested, and can be held in registered accounts such as TFSAs and RRSPs. The ETFs do not write covered calls and use modest leverage that is not reset daily, unlike some leveraged ETFs that target two or three times a stock's daily return. Gains and losses are magnified in both directions, and each fund is concentrated in a single company without diversification. Borrowing costs, fees and market conditions also affect returns.
- XRP's 5-Year Outlook: Is This Cryptocurrency Worth Buying Now?
The author argues XRP isn't worth buying, even if its price rises over five years, because holders capture little of the value generated by network activity. Ripple markets the XRP Ledger as an institutional finance hub and home for tokenized real-world assets, which could increase transactions and the amount of XRP burned through fees. However, 21Shares data shows the network earned just $1.2 million in fees on $159.9 billion settled in the first half of 2026, against an $82.4 billion market cap, and tokenized assets pay similarly tiny fees. Two proposed features, a native lending protocol and native staking, could give holders a yield but would not directly tie returns to network growth. The author says they cannot see investing until a mechanism reliably links XRP's utilization to holder returns.
- Ripple brings Wall Street into 24/7 stock bets, but HSBC warns markets are still thin
Ripple Prime now lets institutional clients trade swaps tied to more than 100 stock, commodity and currency markets around the clock, using its RLUSD stablecoin as collateral. HSBC's Daragh Maher called the launch “evolutionary, not revolutionary,” warning that thin liquidity could limit large trades and initially benefit market makers, proprietary traders and hedge funds. The risks of weekend trading surfaced on Saturday, when nearly $52 million in leveraged chip-stock positions were forcibly closed within 10 minutes while the underlying shares were not trading. HSBC said Ripple's success will depend on whether the service is cheaper, simpler and makes better use of collateral than existing brokers and venues.
- XRP Ledger is set to fix its lending code before anyone can use it
A XRP Ledger bug-fix package is expected to take effect around 09:34 UTC on Oct. 23 after reaching the 29 validator votes needed for approval. The fixes relate to Ripple's proposed uncollateralized lending system, which remains inactive because its lending and vault amendments have only 19 and 21 votes. The package also closes a loophole that let accounts permitted only to burn tokens create new ones, and revises vault rounding and loan-default rules. Even if both amendments reached 29 votes today, the article notes lending could not go live before early November, since neither has started its two-week countdown.
Related markets
Latest news
- Bank Profits Surge
The 9-month 2026 results show many banks continued to grow profits, with some posting record quarterly earnings. VPBank's pre-tax profit reached nearly VND 30,000 billion, up nearly 47%, equal to its full-year 2025 result and about 72.4% of its 2026 plan; Q3 pre-tax profit topped VND 11,000 billion. Techcombank posted VND 28,900 billion (up 23.7%), while LPBank reported VND 10,421 billion (up nearly 9%). SSI forecasts pre-tax profit of its monitored banks to rise 19.5% in 2026 before slowing to 15.4% in 2027, pressured by narrowing net interest margins and rising credit risk provisions. It also expects system-wide credit growth of 16-17% in 2027 and 17.9% for the monitored banks.
- World's Largest Gold Fund Dumps Over 10 Tonnes of Gold as Prices Slide
SPDR Gold Trust, the world's largest gold fund, continued net selling of nearly 12 tonnes of gold in the 22/10 session, bringing total sales over 2 sessions to nearly 15 tonnes and cutting its holdings to about 1,046 tonnes. Spot gold fell more than 2.8% to around USD 4,025 per ounce at the close of 22/10, and briefly dipped below USD 4,000 per ounce in the morning session of 23/10. Tensions in the Middle East pushed crude oil prices higher, raising concerns about inflation and further Fed tightening, and gold has still not attracted sustained safe-haven demand even as US Treasury yields fell. US September CPI rose 0.6% month on month and 3.7% year on year, while PPI rose 1.3% and 6.3%. Markets price about an 84% chance the Fed holds rates steady at its 27-28/10 meeting and a 16% chance of a 25 basis-point increase; September PCE data due on 29/10 is the next key factor to watch.
- Gold Prices Continue to Fall
On the morning of 23/10, domestic gold prices kept falling, with SJC bar prices varying by seller and the premium over world gold widening. Công ty TNHH Vàng bạc đá quý Sài Gòn listed SJC bars at VND 139-142 million per tael (buy-sell), down VND 300,000; Phú Quý was at VND 138-141.8 million, down VND 500,000; and Mi Hồng at VND 140-141.5 million, down VND 800,000. Gold rings also fell by varying amounts, with DOJI at VND 138-142 million and Phú Quý at VND 138-141 million per tael. World gold dropped USD 129 to around USD 3,992 per ounce, equal to about VND 125.3 million per tael, leaving SJC bars about VND 16.7 million per tael above the world price. The State Bank's central rate was set at 25,627 VND/USD, down 5 dong, while Vietcombank quoted 25,660-26,040 VND/USD (buy-sell).
- Company Linked to Billionaire Pham Nhat Vuong Announces Major Good News
VEFAC (ticker VEF), a Vingroup subsidiary, posted Q3 net revenue of nearly VND 77 billion, up 67% year on year, but a gross loss of about VND 27 billion as cost of sales from its exhibition business exceeded revenue. Q3 profit rose mainly thanks to a gross gain of about VND 65 billion from transferring some schools in a project to a partner, while financial income reached over VND 388 billion, mostly from loan and investment income. For the first nine months of 2026, after-tax profit was nearly VND 865 billion, down about 94% from VND 15,418 billion in the same period of 2025, as the prior year included large gains from transferring part of the Vinhomes Global Gate project. As of 30/9/2026, total assets stood at over VND 31,905 billion, up 36% from the start of the year, while total liabilities exceeded VND 24,364 billion, with short-term customer advances rising from VND 411 billion to over VND 8,373 billion.
- Lotte and Phat Dat Officially Break Ground on VND 60,000 Billion Mega Project in Thu Thiem 'Golden Land'
A joint venture between Lotte Group (South Korea) and Phát Đạt (HoSE: PDR) officially broke ground on 23/10 on Lotte Eco Smart City Thu Thiem in the Thu Thiem New Urban Area, HCMC, with total investment of about VND 60,000 billion. The project covers nearly 7.5 ha and will combine Grade A offices, retail, services, accommodation and housing, adjoining the central plaza and central lake of Thu Thiem. Phát Đạt holds 35% of Lotte Properties HCMC, the project developer, and will develop the housing blocks along with two towers (2-1 and 2-3) with about 219,722 m2 of floor area, while Lotte handles block 2-5. Lotte Properties HCMC paid VND 17,569 billion in land-use fees on 31/7/2026, and Phát Đạt completed its VND 7,666 billion payment to take its 35% stake. MB is funding all of Phát Đạt's capital contribution, while VietinBank and BIDV also support the project.
- International Business : Global stocks nosedive as Meta dents AI optimism
Global stocks retreated as tech earnings failed to ease concerns about the AI outlook, with MSCI's All-World index set for its largest daily fall in two weeks, down 0.4 per cent. Meta beat third-quarter revenue expectations, but its plan to issue non-voting stock revived worries about its mounting capital commitments, and a New Mexico judge ordered it to pay a $25 billion penalty in a data privacy case. Brent crude rose nearly 3% to $112 a barrel, near a five-month high, after more Houthi attacks in Saudi Arabia raised supply risks. Investors moved into government bonds, pushing the US 10-year yield down to 5.05%, below France's for the first time in 13 years, while French yields have climbed above 5% amid concerns over social unrest and debt. The France-Germany 10-year spread reached 177.7 basis points, its widest since 2011, while gold fell 1.8% to $4,070 an ounce.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.