21Shares XRP ETP (AXRP39)

Overview

The 21Shares XRP ETP is an innovative exchange-traded product (ETP) offered by 21Shares AG, a Swiss company renowned for its expertise in crypto-linked financial instruments. This unique financial product aims to track the performance of XRP, a digital asset specifically designed to facilitate rapid and cost-effective cross-border payments on the decentralized XRP Ledger. The ETP is backed by physical XRP collateral, securely held in segregated accounts, ensuring that investors receive senior secured exposure as first lien creditors against allocated pools of the cryptocurrency. It is denominated in USD and is assigned an ISIN of CH0454664043. With features such as a continuous creation and redemption mechanism for authorized participants, an annual put option, and the absence of a scheduled maturity date, the 21Shares XRP ETP allows for flexible issuance of additional units without any risk of dilution. Carrying a base annual fee of 2.5%, it also includes subscription or redemption fees applicable to participants. In the realm of financial markets, this product serves a significant purpose by providing regulated access to cryptocurrency volatility and fostering innovation, effectively bridging the gap between traditional finance and digital assets while highlighting XRP's utility in global payments, tokenized assets, and ledger functions for institutions.

Products and Services

• Exchange-Traded Product (ETP)

  The 21Shares XRP ETP is a regulated financial product designed to mirror the performance of the XRP digital asset. It allows investors to gain exposure to cryptocurrency markets through a secure, structured investment vehicle.

• Physical XRP Collateral

  This ETP is backed by physical XRP held in segregated accounts, ensuring that all units issued are fully collateralized, which offers investors security and confidence in their investment.

• Open-Ended Debt Security

  The 21Shares XRP ETP functions as an open-ended debt security, meaning there is no fixed maturity date. This feature allows for ongoing investment opportunities and flexibility in managing the product's issuance.

• Continuous Creation and Redemption

  Authorized participants have the capability to continuously create and redeem units of the ETP, facilitating liquidity and ensuring that the product's market price is aligned with its actual net asset value.

• Senior Secured Exposure

  Investors in the 21Shares XRP ETP are granted first lien creditor status against allocated pools of XRP, providing an added layer of security for participants.

• Annual Put Option

  The existence of an annual put option adds an additional safety net for investors, allowing them more control over their investment and risk exposure.

• Base Annual Fee

  The ETP carries a competitive base annual fee of 2.5%, ensuring that the costs associated with holding the product are transparent and manageable for investors.

• Access to Cryptocurrency Markets

  This financial instrument serves as a bridge between traditional finance and the digital asset ecosystem, providing investors with regulated and structured access to the unique opportunities and volatility present in the cryptocurrency market.