Company: TOXR
Filing Date: 2025-10-10
Form Type: S-1/A
Source: 0001213900-25-098141
Chunk: 99

Company: 21Shares XRP ETF
Filing Date: 2025-10-10
Form: S-1/A
Chunk 99
---
 relating to the operation of the Trust and the mechanics instituted for the investment in, holding
of and transfer of XRP. Regardless of the merit of an intellectual property or other legal action, any legal expenses to defend or
payments to settle such claims would be extraordinary expenses that would be borne by the Trust through the sale or transfer of its XRP
and any threatened action that reduces confidence in long-term viability or the ability of end-users to hold and transfer XRP may adversely
affect the value of the Shares. Additionally, a meritorious intellectual property rights claim could prevent the Trust from operating
and force the Sponsor to terminate the Trust and liquidate its XRP. As a result, an intellectual property rights claim against the
Trust could adversely affect the value of the Shares.

Shareholders may be adversely affected by the amendment of Trust Agreement Without Shareholder Consent.

Subject to certain exceptions
set forth in the Trust Agreement, the Trust Agreement can be amended by the Sponsor in its sole discretion and without the shareholders’
consent by making an amendment, an agreement supplemental to the Trust Agreement, or an amended and restated trust agreement, which amendments
may materially adversely affect the interests of the Shareholders.

Potential conflicts of interest may arise among the Sponsor or its affiliates and the Trust. The Sponsor and its affiliates have no fiduciary duties to the Trust and its shareholders other than as provided in the Trust Agreement, which may permit them to favor their own interests to the detriment of the Trust and its shareholders.

The Sponsor will manage
the affairs of the Trust. Conflicts of interest may arise among the Sponsor and its affiliates, on the one hand, and the Trust and its
shareholders, on the other hand. As a result of these conflicts, the Sponsor may favor its own interests and the interests of its affiliates
over the Trust and its shareholders. These potential conflicts include, among others, the following:

| ● | The                                                                                                                                         
 Sponsor has no fiduciary duties to, and is allowed to take into account the interests of parties other than, the Trust and its shareholders 
 in resolving conflicts of interest, provided the Sponsor does not act in bad faith;                                                         |

| ● | The                                                                                           
 Trust has agreed to indemnify the Sponsor and its affiliates pursuant to the Trust Agreement; |

| ● | The                                                                                                                                
 Sponsor is responsible for allocating its own limited resources among different clients and potential future business ventures, to 
 each of which it owes fiduciary duties;                                                                                            |

| ● | The                                                                                                                                    
 Sponsor and its