XRP saw $15.8 million in inflows last week, outperforming most major cryptocurrencies despite market-wide outflows.
The move follows a new U.S. proposal allowing 401(k) plans to include digital assets. Investors are showing growing interest in XRP as institutional adoption gains momentum.
According to CoinShares, Bitcoin, Ethereum, and Solana funds collectively recorded $414 million in outflows while XRP funds remained resilient.
The inflows place XRP among the top-performing altcoins in recent fund flow data, reversing prior periods of mixed market sentiment.
Analysts attribute XRP’s performance to its focus on payments and increasing speculation that regulatory clarity could drive adoption.
XRP Outflows Contrast Market-Wide Losses
While XRP gained traction, most crypto funds faced heavy outflows. Ethereum funds lost $222 million, Bitcoin dropped $194 million, and Solana recorded $12.3 million in outflows.
U.S. investors accounted for the majority of withdrawals as geopolitical tensions and inflation concerns pressured markets.
CoinShares’ head of research, James Butterfill, noted that investors remain cautious due to the Iran-U.S. conflict and expectations of a potential June rate hike.
Ethereum’s decline was also linked to the ongoing debate over the Clarity Act, which continues to divide lawmakers.
After last week’s withdrawals, total crypto assets under management fell to $129 billion, erasing gains achieved since early February.
Despite broader sell-offs, XRP’s inflows reflect strong demand for payments-focused tokens amid institutional interest.
401(k)s Set to Embrace Crypto and Private Assets
The U.S. Department of Labor has proposed a rule allowing 401(k) plans to include alternative investments such as crypto, private equity, and real estate.
This aligns with President Trump’s August 2025 executive order, which encouraged regulators to make digital assets more accessible to retirement savers.
Labor Secretary Lori Chavez-DeRemer stated the rule would allow plans to consider products that reflect today’s investment landscape.
Institutional managers are already positioning to capitalize on the change. Apollo’s Mark Rowan and companies like Empower have established networks to offer alternative assets through collective investment trusts.
The proposal would represent a significant shift in retirement planning, opening the door for widespread adoption of crypto within 401(k)s.
Analysts Weigh Risks and Opportunities
Not all experts support the Labor Department’s proposal. Senator Elizabeth Warren criticized the initiative, warning that Americans could face higher risks as private equity returns decline and crypto markets remain volatile.
She highlighted the potential for Wall Street firms to profit while everyday workers carry the investment risks.
Analysts remain divided on the potential impact, but XRP’s recent inflows demonstrate growing investor confidence in regulated crypto exposure.
As 401(k) access expands, assets like XRP may see further institutional demand, particularly from retirement accounts seeking diversified holdings in alternative investments.
The latest developments suggest XRP is uniquely positioned to benefit from evolving U.S. retirement policy.
Its resilience amid broad market outflows and growing interest in alternative assets highlights its appeal to investors seeking stable exposure to crypto within regulated structures.
