Canary Capital’s Canary XRP ETF (XRPC) ended the primary half of 2026 with $81.6 million much less in internet property even after capital-share transactions added a internet $82.4 million, exhibiting how falling asset values can overwhelm progress in an exchange-traded fund.
The fund’s unaudited Kind 10-Q, filed Aug. 7, confirmed internet property declining from $322.8 million at Dec. 31, 2025, to $241.2 million at June 30, 2026.
The accounting bridge is direct: capital-share transactions elevated internet property by $82.36 million, however the accounting lower from operations, primarily unrealized XRP depreciation, lowered them by $164.00 million. The distinction was the $81.65 million decline in internet property over the six-month interval.
XRPC attributed $88.26 million to shares bought and $5.90 million to shares redeemed. As a result of licensed members place XRPC’s creation and redemption orders and may settle them in money or in variety, the $82.36 million isn’t equal to money influx and doesn’t instantly measure retail-investor shopping for. The submitting doesn’t disclose the interval’s cash-versus-in-kind cut up.
Unrealized depreciation overwhelmed internet share exercise
Unrealized depreciation accounted for $159.70 million of the $164.00 million lower from operations. The steadiness comprised $3.59 million of realized losses and a $716,898 internet funding loss. All are unaudited figures for the total six months, not the second quarter alone.
The fund’s redemptions subsequently didn’t exceed its new share exercise. Internet capital-share exercise remained optimistic, however the accounting lower from operations was practically twice as giant as the worth added by way of capital transactions. Unrealized XRP depreciation, fairly than charges or realized losses, dominated that lower.
The distinction is clearest in XRPC’s holdings. The belief held 231.3 million XRP at June 30, up 55.7 million XRP, or 31.7%, from 175.6 million on the finish of 2025. The amount of XRP rose whereas unrealized depreciation lowered the greenback worth acknowledged within the portfolio.
The fund additionally bought 3.93 million XRP to fund share redemptions throughout the first half, recording a $3.26 million realized loss on these gross sales. That was a loss acknowledged by the fund, not a measure of losses realized by particular person XRPC shareholders.
XRPC’s submitting captures two simultaneous actions: internet capital-share exercise and XRP models each elevated, whereas depreciation lower the worth of the bigger token pool. The outcome was a fund with extra XRP however $81.6 million much less in internet property at midyear.
