ChainThink report, October 8: According to CoinDesk, Ripple is entering the leveraged stock financing market through its Prime brokerage arm, Ripple Prime, offering financing services for leveraged ETFs betting on individual stocks such as NVIDIA and SanDisk, as well as major indices—penetrating a domain traditionally dominated by large banks and securities firms.

Ripple Prime provides leveraged exposure to funds via Total Return Swaps (TRS) and charges financing fees.

For example, the Tradr 2X Long SNDK Daily ETF pays Ripple an overnight bank financing rate plus 4 percentage points; at current rates, the annualized financing cost amounts to approximately 8%, excluding ETF management fees.

According to Morningstar Direct data, there are currently 593 leveraged ETFs in the U.S. market with over $25.6 billion in assets under management, including 426 that track individual equities.

As banks face increasingly stringent capital and risk regulations, non-bank entities such as Ripple Prime, Jane Street, and Clear Street are capturing greater market share.

Ripple acquired multi-asset Prime broker Hidden Road for $1.25 billion in 2025, gaining clearing, financing, and trading capabilities across equities, bonds, foreign exchange, and digital assets markets.

In August this year, Ripple launched its Delta One business, offering Total Return Swap products linked to U.S. equities, indices, and digital assets, disclosing regulatory net capital exceeding $1 billion.

Ripple has not disclosed specific revenue figures from its leveraged ETF financing operations, nor indicated how much of this business utilizes XRP or the XRP Ledger.