Company: TOXR
Filing Date: 2025-11-20
Form Type: S-1/A
Source: 0001213900-25-112826
Chunk: 192

Company: 21Shares XRP ETF
Filing Date: 2025-11-20
Form: S-1/A
Chunk 192
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 Sponsor performs extensive
due diligence as a part of its XRP Counterparty selection and onboarding process. As part of this process the Sponsor assesses XRP Counterparty
candidates against various criteria, including those relating to candidates’ (1) financial standing, (2) reputation, (3) settlement
history with the Sponsor and (4) regulatory oversight. No affiliates of the Trust or the Sponsor are expected to serve as an XRP Counterparty.

Creations and redemptions
will generally be “on-chain” transactions reflected in the Trust’s Vault Account. Under certain circumstances, these
transactions may be “off-chain” transactions that are represented in the books and records of the Prime Broker.

The Trust will be responsible
for XRP-related on-chain transaction fees associated with creation and redemption transactions and transactions with the Prime Broker,
and that the Sponsor will assume such expenses of the Trust in consideration for the Sponsor Fee. The Authorized Participants are responsible
for only cash liabilities relating to creation and redemption costs, such as trading fees and slippage.

Authorized Participants
will place orders through the Transfer Agent. The Transfer Agent will coordinate with the XRP Custodians in order to facilitate settlement
of the Shares and XRP as described in more detail in the Creation Procedures and Redemption Procedures sections below.

The following description
of the procedures for the creation and redemption of Baskets is only a summary and a Shareholder should refer to the relevant provisions
of the Trust Agreement and the form of Authorized Participant Agreement for more detail. The Trust Agreement and form of Authorized Participant
Agreement will be filed as exhibits to the registration statement of which this Prospectus is a part.

Creation Procedures

On any Business Day,
an Authorized Participant may place an order with the Transfer Agent via the order taking portal to create one or more Baskets via a
cash or in-kind transaction.

Purchase orders must be placed
by 12:00 p.m. ET, the close of regular trading on the Exchange, or another time determined by the Sponsor. The day on which
an order is received by the Transfer Agent is considered the purchase order date.

Upon the Sponsor’s approval,
a creation request by an Authorized Participant will produce an affirmation confirming the acceptance of the order by the Sponsor. Upon
publication of the Trust’s NAV, the Sponsor, Transfer Agent and Authorized Participant will receive a confirmation receipt including
trade details such as trade date, settlement date, direction of trade, number of Shares, XRP entitlement and Authorized Participant details.
On the settlement date,