Risks and Uncertainties |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2026 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Risks and Uncertainties [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Risks and Uncertainties | 6. Risks and Uncertainties
Substantially all the Trust’s assets are holdings of XRP, which creates a concentration risk associated with fluctuations in the price of XRP. Accordingly, a decline in the price of XRP will have an adverse effect on the value of the Shares of the Trust. The trading prices of XRP have experienced extreme volatility in recent periods and may continue to fluctuate significantly. Extreme volatility in the future, including substantial, sustained, or rapid declines in the trading prices of XRP, could have a material adverse effect on the value of the Shares and the Shares could lose all or substantially all of their value. Factors adversely impacting the value of XRP and the Shares may include an increase in the global XRP supply or a decrease in global XRP demand; market conditions of, and overall sentiment towards, the crypto assets and blockchain technology industry; trading activity on crypto asset exchanges, which, in many cases, are largely unregulated or may be subject to manipulation; the adoption of XRP as a medium of exchange, store-of-value or other consumptive asset and the maintenance and development of the open-source software protocol of the XRP network, and their ability to meet user demands; manipulative trading activity on crypto asset exchanges, which, in many cases, are largely unregulated; and forks in the XRP network, among other things. Coinbase Custody Trust Company, LLC serves as the Trust’s custodian for XRP for which qualified custody is available (the “XRP Custodian”). The XRP Custodian is subject to change in the sole discretion of the Sponsor. Temporary differences in the quantity of XRP held by the XRP Custodian from the amounts reflected in the financial statements may occur. These differences are due to pending settlement of XRP trades with the XRP Custodian, which generally occurs within business days of the trade date. Payable for XRP purchased represents the quantity of XRP purchased for the creation of Shares where the XRP has not yet settled.
Receivable for XRP sold represents the quantity of XRP sold for the redemption of Shares where the XRP has not yet been settled.
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