Company: TOXR
Filing Date: 2025-10-10
Form Type: S-1/A
Source: 0001213900-25-098141
Chunk: 94

Company: 21Shares XRP ETF
Filing Date: 2025-10-10
Form: S-1/A
Chunk 94
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 may be located in other jurisdictions. The XRP Custodian is not a depository institution as it is not insured by the FDIC. The
insolvency of the XRP Custodian or of any broker, custodian bank or clearing corporation used by the XRP Custodian, may result in the
loss of all or a substantial portion of the Trust’s assets or in a significant delay in the Trust having access to those assets.
Additionally, custody of digital assets presents inherent and unique risks relating to access loss, theft and means of recourse in such
scenarios. These risks are applicable to the Trust’s use of Coinbase Custody.

The Trust may change the custodial
arrangements described in this Prospectus at any time without notice to Shareholders.

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The Trust is subject to risks due to its concentration of investments in a single asset.

Unlike other funds that may
invest in diversified assets, the Trust’s investment strategy is concentrated in a single asset within a single asset class. This
concentration maximizes the degree of the Trust’s exposure to a variety of market risks associated with XRP and digital assets.
By concentrating its investment strategy solely in XRP, any losses suffered as a result of a decrease in the value of XRP can be expected
to reduce the value of an interest in the Trust and will not be offset by other gains if the Trust were to invest in underlying assets
that were diversified.

The lack of active trading markets for the Shares may result in losses on Shareholders’ investments at the time of disposition of Shares.

Although Shares of the Trust
are expected to be publicly listed and traded on an exchange, there can be no guarantee that an active trading market for the Shares will
develop or be maintained. If Shareholders need to sell their Shares at a time when no active market for them exists, the price Shareholders
receive for their Shares, assuming that Shareholders are able to sell them, may be lower than the price that Shareholders would receive
if an active market did exist and, accordingly, a Shareholder may suffer losses.

Several factors may affect the Trust’s ability to achieve its investment objective on a consistent basis.

There can be no assurance
that the Trust will achieve its investment objective. Prospective investors should read this entire Prospectus and consult with their
own advisers before subscribing for Shares. Factors that may affect the Trust’s ability to meet its investment objective include:
(1) The Trust’s, an XRP Counterparty’s or an