XRP Steals the Spotlight from Ethereum in Coinbase’s Q2 Earnings
In a surprising turn of events during Coinbase’s Q2 2025 earnings, Ripple’s XRP has for the first time overtaken Ethereum in terms of transaction revenue on the platform.
According to Coinbase’s shareholder letter, XRP accounted for 13% of consumer transaction revenue, edging out Ethereum’s 12%.
This development comes days after XRP topped buyer charts on crypto exchange Coinbase.
Coinbase reported total transaction revenue of $764 million, falling short of analyst expectations despite broader crypto market.
The drop in volume approximately 39% quarter-over-quarter reflects a broader retail trading decline, even as spot volumes grew modestly year-over-year to reach $237 billion.
Bitcoin remained dominant, generating 34% of transaction revenue and holding roughly $1.3 billion in Coinbase’s crypto holdings, while Ethereum assets were valued at about $300 million.
What’s Behind XRP’s Rise?
The resurgence of XRP is closely tied to regulatory clarity. Ripple secured a decisive legal victory in July 2023, ending prolonged uncertainty over whether XRP would be considered a security.
This triggered renewed interest from retail traders and institutions and spurred XRP’s market share from under 10% in early 2024 to a brief Q1 high of 18%.
According to Bitwise’s Juan Leon, that legal clarity catalyzed a retail rally. Meanwhile Ethereum’s broader ecosystem gains particularly spot ETH ETFs and DeFi expansion have driven its performance at an institutional level.
Over the past six months, Coinbase data shows XRP’s cumulative revenue share climbing to 16%, while Ethereum’s has slipped to 11%, signaling a sustained shift in trading momentum.
While the XRP outperformance stands out, Coinbase’s overall results were mixed. Total revenue reached $1.5 billion, missing analyst consensus of $1.59 billion and driving an after-hours drop of about 7% in the stock.
Is BlackRock Eyeing a Spot XRP ETF?
Digital asset researcher Anderson has stoked fresh excitement in the crypto industry by suggesting that BlackRock may soon file for a spot XRP ETF.
The indication comes amid renewed optimism around Ripple’s regulatory clarity and BlackRock’s growing exposure to tokenized finance.
Taking on X, formerly Twitter, Anderson noted that BlackRock’s Director of Digital Assets, Maxwell Stein, is set to speak at Ripple’s upcoming Swell conference.
This presence, he implied, could herald BlackRock’s entrance into the XRP ETF market. His remark, “Seems like BlackRock XRP ETF is getting close.”
If BlackRock files, it would likely be part of a broader crypto ETF strategy, including potential spot products linked to Solana or diversified token baskets that reflects BlackRock’s expanding digital‑asset ambitions.
Meanwhile, Ripple’s Swell conference slated for November, featuring Stein among other institutional speakers, has become a focal point for speculation.
Conclusion
The possibility of a BlackRock XRP spot ETF hinges on evolving regulatory clarity driven by Ripple’s legal developments and strategic considerations by institutional giants.
Anderson’s remarks and Stein’s conference appearance suggest momentum, but until a formal SEC filing appears, it remains a watch‑and‑wait moment for market watchers.
On the other hand, Coinbase’s Q2 earnings illuminate a potential altcoin realignment where XRP has claimed a higher share of consumer trading revenue than Ethereum, even as Ethereum rebounds in price and broader DeFi usage.
This suggests that retail traders’ regulatory comfort and shifting market sentiment now play a pivotal role in defining trading dynamics.
