Company: TOXR
Filing Date: 2025-11-07
Form Type: S-1/A
Source: 0001213900-25-107665
Chunk: 21

Company: 21Shares XRP ETF
Filing Date: 2025-11-07
Form: S-1/A
Chunk 21
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 Sponsor’s website. Pursuant to the Trust Agreement, the Sponsor or its delegates will direct the XRP Custodians to transfer XRP from the Trust’s Cold Vault Balance as needed to pay the Sponsor Fee and Additional Trust Expenses, if any. The Sponsor or its delegates will endeavor to transfer the smallest amount of XRP needed to pay applicable expenses. The Trust shall not be responsible for paying any fees or expenses associated with the transfer of XRP as needed to pay the Sponsor Fee or Additional Trust Expenses. Custody of the Trust’s Assets The Trust’s XRP Custodians will maintain custody of all of the Trust’s XRP. The XRP Custodians provide insured safekeeping of digital assets using multi-layer cold storage security platforms designed to provide offline security of the digital assets held by the XRP Custodians. The XRP Custodians have insurance coverage as subsidiaries under their parent companies, which procure fidelity ( e.g.,crime) insurance to protect the organizations from risks such as theft of funds. Specifically, the fidelity programs provide coverage for the theft of funds held in hot or cold storage. The insurance program is provided by a syndicate of industry-leading insurers. The insurance programs do not cover, insure or guarantee the performance of the Trust. The XRP Custodians are not FDIC-insured. The insurance maintained by the XRP Custodians is shared among all of the XRP Custodians’ customers, is not specific to the Trust or to customers holding XRP with the XRP Custodians, and may not be available or sufficient to protect the Trust from all possible losses or sources of losses. XRP may be held across multiple wallets, any of which will feature the following safety and security measures to be implemented by the XRP Custodians:

| ● | Cold Storage:                                                                                       
 Cold storage in the context of XRP means keeping the reserve of XRP offline, which is a widely-used 
 security precaution, especially when dealing with large amount of XRP. XRP held under               
 custodianship with the XRP Custodians will be kept in high-security, offline, multi-layer           
 cold storage vaults.                                                                                |

This means that the private keys, the cryptographic component that allows a user to access XRP, are stored offline on hardware that has never been connected to the internet. Storing the private key offline minimizes the risk of the XRP being stolen. The Sponsor expects that nearly all of the Trust’s assets and private keys will be held in cold storage of