Investors poured $82 million into Canary’s XRP ETF, but falling prices erased double what they put in

A notable development has hit the crypto markets. Canary Capital’s Canary XRP ETF (XRPC) ended the first half of 2026 with $81. 6 million less in net assets even after capital-share transactions added a net $82. 4 million, showing how falling asset values can overwhelm growth in an exchange-traded fund.

The fund’s unaudited Form 10-Q, filed Aug. 7, showed net assets declining from $322. 2 million at June 30, 2026.

Market Dynamics

The accounting bridge is direct: capital-share transactions increased net assets by $82. 36 million, but the accounting decrease from operations, primarily unrealized XRP depreciation, reduced them by $164. The difference was the $81.

65 million decline in net assets over the six-month period. 26 million to shares sold and $5. 90 million to shares redeemed.

Because authorized participants place XRPC’s creation and redemption orders and can settle them in cash or in kind, the $82. 36 million is not equivalent to cash inflow and does not directly measure retail-investor buying. The filing does not disclose the period’s cash-versus-in-kind split.

Market Impact

Related Reading Institutions dumped Bitcoin and Ethereum ETFs but still bought XRP and HYPE again Bitcoin and Ethereum ETF outflows dwarfed XRP’s weekly inflow, while selective demand for XRP and HYPE wrappers showed institutions separating broad crypto risk from targeted altcoin exposure. Jun 29, 2026 Liam 'Akiba' Wright Unrealized depreciation overwhelmed net share activity Unrealized depreciation accounted for $159. 70 million of the $164.

00 million decrease from operations. The balance comprised $3. 59 million of realized losses and a $716,898 net investment loss.

All are unaudited figures for the full six months, not the second quarter alone. Related Reading XRP aims for $0. 90 as ETF demand battles selling pressure from whales ETF demand is giving XRP a Wall Street bid, but whale selling and weak on-chain activity suggest the token may need a deeper reset before bulls regain control.

Crypto markets are watching this development closely as investors weigh its potential impact on prices.