Company: TOXR
Filing Date: 2025-12-08
Form Type: S-1/A
Source: 0001213900-25-118924
Chunk: 24

Company: 21Shares XRP ETF
Filing Date: 2025-12-08
Form: S-1/A
Chunk 24
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 promptly as practicable after 4:00 p.m. ET, based on the Pricing Benchmark. In
determining the Trust’s NAV, the Administrator values the XRP held by the Trust based on the price set by the Pricing Benchmark
as of 4:00 p.m. ET. The Sponsor believes that use of the Pricing Benchmark mitigates against idiosyncratic market risk, as
the failure of any individual spot market will not materially impact pricing for the Trust. It also allows the Administrator to calculate
the NAV in a manner that significantly deters manipulation.

However, determining the value
of the Trust’s XRP using the Pricing Benchmark is not in accordance with U.S. generally accepted accounting principles (“GAAP”),
and therefore, the Pricing Benchmark is not used in the Trust’s financial statements. The Trust’s XRP are carried, for financial
statement purposes, at fair value, as required by GAAP. As promptly as practicable after 4:00 p.m. ET, the Trust determines the
fair value of XRP based on the price provided by the XRP market that the Trust considers its “principal market” as of 4:00 p.m.
ET on the valuation date. The NAV of the Trust determined on a GAAP basis is referred to in this Prospectus as a “Principal Market
NAV,” and the NAV of the Trust per Share determined on a GAAP basis is referred to as “Principal Market NAV per Share.”

NAV and NAV per Share are
not measures calculated in accordance with GAAP and are not intended as a substitute for the Principal Market NAV and Principal Market
NAV per Share, respectively.

Plan of Distribution; Selling Shareholder

Barring the liquidation of
the Trust or extraordinary circumstances (including but not limited to, non-recurring expenses and costs of services performed by the
Sponsor or a service provider on behalf of the Trust to protect the Trust or the interests of Shareholders, such as in connection with
any fork of the XRP Ledger, any indemnification of agents, service providers or counterparties of the Trust and extraordinary legal fees
and expenses, including any legal fees and expenses incurred in connection with litigation, regulatory enforcement or investigation matters),
the Trust will not purchase or sell XRP other than in connection with the creation and redemption of Shares. The Sponsor may also sell
XRP to pay certain expenses, which may be facilitated by the Prime Broker or any other prime brokers with whom the Trust contracts.

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