Company: TOXR
Filing Date: 2025-10-10
Form Type: S-1/A
Source: 0001213900-25-098141
Chunk: 87

Company: 21Shares XRP ETF
Filing Date: 2025-10-10
Form: S-1/A
Chunk 87
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 subject to the
risk that the Administrator may calculate the Pricing Benchmark in a manner that ultimately inaccurately reflects the price of XRP. To
the extent that the NAV, Principal Market NAV, the Pricing Benchmark, the Administrator’s or the Sponsor’s other valuation
methodology are incorrectly calculated, neither the Sponsor, the Administrator nor the Trustee will be liable for any error and such misreporting
of valuation data could adversely affect the value of the Shares and investors could suffer a substantial loss on their investment in
the Trust. Moreover, the terms of the Trust Agreement do not prohibit the Sponsor from changing the Pricing Benchmark or other valuation
method used to calculate the NAV and Principal Market NAV of the Trust. Any such change in the Pricing Benchmark or other valuation method
could affect the value of the Shares and investors could suffer a substantial loss on their investment in the Trust.

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XRP Counterparties’ buying and selling activity associated with the creation and redemption of Baskets may adversely affect an investment in the Shares.

The purchase of XRP in connection
with Basket creation orders may cause the price of XRP to increase, which will result in higher prices for the Shares. Increases in the
XRP prices may also occur as a result of XRP purchases by other market participants who attempt to benefit from an increase in the market
price of XRP when Baskets are created. The market price of XRP may therefore decline immediately after Baskets are created.

Selling activity associated
with sales of XRP in connection with redemption orders may decrease the XRP prices, which will result in lower prices for the Shares.
Decreases in XRP prices may also occur as a result of selling activity by other market participants.

In addition to the effect that
purchases and sales of as part of the creation and redemption process may have on the price of XRP, sales and purchases of XRP by similar
investment vehicles (if developed) could impact the price of XRP. If the price of XRP declines, the trading price of the Shares will
generally also decline.

The inability of XRP Counterparties to hedge their XRP exposure may adversely affect the liquidity of Shares and the value of an investment in the Shares.

Authorized Participants
and market makers will generally want to hedge their exposure in connection with Basket creation and redemption orders. To the extent
Authorized Participants and market makers are unable to hedge their exposure due to market conditions (e.g., insufficient XRP liquidity
in the market