Company: TOXR
Filing Date: 2025-08-22
Form Type: S-1/A
Source: 0001213900-25-079981
Chunk: 62

Company: 21Shares XRP ETF
Filing Date: 2025-08-22
Form: S-1/A
Chunk 62
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 Credit that the Trust’s agreement
with the Trade Credit Lender permits to be outstanding at any one time, or (d) a security or technology issue occurred and is continuing
that results in Coinbase Inc. being unable to provide trading services or accept the Trust’s order, in each case, subject to certain
protections for the Trust. Also, if Coinbase Custody or Coinbase Inc. become insolvent, suffer business failure, cease business operations,
default on or fail to perform their obligations under their contractual agreements with the Trust, or abruptly discontinue the services
they provide to the Trust for any reason, the Trust’s operations would be adversely affected.

The Trustee may not be
able to find a party willing to serve as the custodian of the Trust’s XRP or as the Trust’s prime broker under the same terms
as the current Custodial Services Agreement or Prime Broker Agreement or at all. To the extent that the Trustee is not able to find a
suitable party willing to serve as the custodian or prime broker, the Trustee may be required to terminate the Trust and liquidate the
Trust’s XRP. In addition, to the extent that the Trustee finds a suitable party but must enter into a modified Custodial Services
Agreement or Prime Broker Agreement that is less favorable for the Trust or Trustee, the value of the Shares could be adversely affected.
If the Trust is unable to find a replacement prime broker, its operations could be adversely affected.

The XRP Custodian and Prime Broker may act in the same or similar capacity for other competing products.

Currently, the number of
digital assets intermediaries with the reputation and operational capability to serve as custodian and/or prime broker to the Trust or
other competing products is limited. The XRP Custodian and Prime Broker may act in the same or similar capacity for other competing products,
including exchange-traded products offering exposure to the spot XRP market or other digital assets. The Trust is therefore subject to
risks associated with these competing products utilizing the same service providers for XRP custodial and prime brokerage services.

To the extent that exchange-traded
products offering exposure to the spot XRP market or other digital assets utilize substantially the same service providers for XRP custodial
and prime brokerage services, this industry concentration may result in the development of fewer other digital assets intermediaries with
the reputation and operational capability to provide XRP custodial and prime brokerage services to the Trust or other competing products.
This, in turn, could