Company: TOXR
Filing Date: 2025-11-20
Form Type: S-1/A
Source: 0001213900-25-112826
Chunk: 12

Company: 21Shares XRP ETF
Filing Date: 2025-11-20
Form: S-1/A
Chunk 12
---
 liquidation of
the Trust or extraordinary circumstances (including but not limited to, non-recurring expenses and costs of services performed by the
Sponsor or a service provider on behalf of the Trust to protect the Trust or the interests of Shareholders, such as in connection with
any fork of the XRP Ledger, any indemnification of agents, service providers or counterparties of the Trust and extraordinary legal fees
and expenses, including any legal fees and expenses incurred in connection with litigation, regulatory enforcement or investigation matters),
the Trust generally will not purchase or sell XRP, other than in connection with the creation or redemption of Shares. The Sponsor may
also sell XRP to pay certain expenses, which may be facilitated by the Prime Broker or any other prime brokers with whom the Trust contracts.

When the Trust sells or
redeems its Shares, XRP will be transferred into or out of the Trust, as applicable, in exchange for a Basket that is based on the quantity
of XRP attributable to each Share of the Trust (net of accrued but unpaid Sponsor Fees and any accrued but unpaid extraordinary expenses
or liabilities).

Financial firms that are
authorized to purchase Shares from or redeem Shares to the Trust (known as “Authorized Participants”) may purchase Shares
in cash by depositing cash in the Trust’s account with the Cash Custodian. This will cause the Sponsor, on behalf of the Trust,
to automatically instruct a designated third party, who is not an Authorized Participant but who may be an affiliate of an Authorized
Participant and with whom the Sponsor has entered into an agreement on behalf of the Trust (each such third party, or the Prime Broker
or Lender, as applicable, an “XRP Counterparty”), to (i) purchase the amount of XRP equivalent in value to the cash
deposit amount associated with the order and (ii) deposit the resulting XRP amount in the Trust’s accounts with the XRP Custodians,
resulting in the Transfer Agent crediting the applicable amount of Shares to the Authorized Participant. Authorized Participants may
also purchase Shares in-kind. To purchase Shares in-kind, an Authorized Participant delivers, or arranges for the delivery by an Authorized
Participant’s designated agent of, XRP to the Trust’s accounts with the XRP Custodians in exchange for Shares.

When such an Authorized
Participant redeems its Shares in cash, the Sponsor, on behalf of the Trust will direct the XRP Custodians to transfer XRP to the XRP
Counterparty, who will sell the