Company: TOXR
Filing Date: 2025-08-22
Form Type: S-1/A
Source: 0001213900-25-079981
Chunk: 161

Company: 21Shares XRP ETF
Filing Date: 2025-08-22
Form: S-1/A
Chunk 161
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 stored in cold storage facilities within the United States and Europe, exact locations of which are not disclosed
for security reasons. A limited number of employees at the XRP Custodian are involved in private key management operations, and the XRP
Custodian has represented that no single individual has access to full private keys.

The XRP Custodian’s internal
audit team performs periodic internal audits over custody operations, and the XRP Custodian has represented that Systems and Organizational
Control (“SOC”) attestations covering private key management controls are also performed on the XRP Custodian by an external
provider.

The XRP Custodian maintains
a commercial crime insurance policy, which is intended to cover the loss of client assets held in cold storage, including from employee
collusion or fraud, physical loss including theft, damage of key material, security breach or hack, and fraudulent transfer. The insurance
maintained by the XRP Custodian is shared among all of the XRP Custodian’s customers, is not specific to the Trust or to customers
holding XRP with the XRP Custodian, and may not be available or sufficient to protect the Trust from all possible losses or sources of
losses.

XRP held in the Trust’s
account with the XRP Custodian is the property of the Trust. The Trust, the Sponsor and the service providers will not loan or pledge
the Trust’s assets nor will the Trust’s assets serve as collateral for any loan or similar arrangement, other than in connection
with the Post-Trade Financing Agreement (as defined below). The Trust will not utilize leverage, derivatives or any similar arrangements
in seeking to meet its investment objective.

In the event of a fork,
the Custodial Services Agreement provides that the XRP Custodian may temporarily suspend services, and may, in their sole discretion,
determine whether or not to support (or cease supporting) either branch of the forked protocol entirely, provided that the XRP Custodian
shall use commercially reasonable efforts to avoid ceasing to support both branches of such forked protocol and will support, at a minimum,
the original digital asset. The Custodial Services Agreement provides that, other than as set forth therein, and provided that the XRP
Custodian shall make commercially reasonable efforts to assist the Trust to retrieve and/or obtain any assets related to a fork, airdrop
or similar event the XRP Custodian shall have no liability, obligation or responsibility whatsoever arising out of or relating to the
operation of the underlying software protocols