Company: TOXR
Filing Date: 2025-12-10
Form Type: 424B3
Source: 0001213900-25-120172
Chunk: 55

Company: 21Shares XRP ETF
Filing Date: 2025-12-10
Form: 424B3
Chunk 55
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 a general unsecured creditor of the Prime Broker, which could result in losses for the Trust and Shareholders. Moreover, in the event of the bankruptcy of the Prime Broker, an automatic stay could go into effect and protracted litigation could be required in order to recover the assets held with the Prime Broker, all of which could significantly and negatively impact the Trust’s operations and the value of the Shares.

Under the Trust Agreement,
the Trustee and the Sponsor will not be liable for any liability or expense incurred, including, without limitation, as a result of any
loss of XRP by the XRP Custodians or the Prime Broker, absent willful misconduct, gross negligence, reckless disregard or bad faith on
the part of the Trustee or the Sponsor or breach by the Sponsor of the Trust Agreement, as the case may be. As a result, the recourse
of the Trust or the Shareholders to the Trustee or the Sponsor, including in the event of a loss of XRP by the XRP Custodians or the
Prime Broker, is limited.

The Shareholders’ recourse
against the Sponsor, the Trustee, and the Trust’s other service providers for the services they provide to the Trust, including,
without limitation, those relating to the holding of XRP or the provision of instructions relating to the movement of XRP, is limited.
For the avoidance of doubt, neither the Sponsor, the Trustee, nor any of their affiliates, nor any other party has guaranteed the assets
or liabilities, or otherwise assumed the liabilities, of the Trust, or the obligations or liabilities of any service provider to the
Trust, including, without limitation, the XRP Custodians and Prime Broker. The Prime Broker Agreement and Custodial Services Agreements
provide that neither the Sponsor, the Trustee, nor their affiliates shall have any obligation of any kind or nature whatsoever, by guaranty,
enforcement or otherwise, with respect to the performance of any of the Trust’s obligations, agreements, representations or warranties
under the Prime Broker Agreement or Custodial Services Agreements or any transaction thereunder. Consequently, a loss may be suffered
with respect to the Trust’s XRP that is not covered by the XRP Custodians’ insurance policies and for which no person is
liable in damages. As a result, the recourse of the Trust or the Shareholders, under applicable law, is limited.

Loss of a critical banking relationship for, or the failure of a bank used by, the Prime Broker or the