Key Takeaways
Teucrium is launching the first leveraged ETF linked to XRP (
$1.38 ) in the US, trading under the ticker X XRP ( $1.38 ) .
The ETF aims to deliver twice the daily return of XRP ( $1.38 ) and has a 1.85% expense ratio.
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Teucrium Investment Advisors is set to launch the first-ever leveraged exchange-traded fund linked to XRP ( $1.38 ) , the fourth-largest crypto asset by market cap, Bloomberg reported Monday.
The fund, called the Teucrium 2x Long Daily XRP ( $1.38 ) ETF, will trade on NYSE Arca under the ticker X XRP ( $1.38 ) . The exchange has certified its approval of the listing and registration of the fund.
The ETF aims to offer investors a leveraged way to bet on the daily price movements of XRP ( $1.38 ) . The fund seeks to deliver returns that are double the daily return of XRP ( $1.38 ) through the use of swap agreements.
The X XRP ( $1.38 ) ETF will charge a management fee of 1.89%, according to its prospectus.
To determine the price of XRP ( $1.38 ) for the swap agreements, the fund will reference several benchmarks, including the CME CF XRP ( $1.38 ) -Dollar Reference Rate, the CME CF XRP ( $1.38 ) -Dollar Real Time Index, and spot XRP ( $1.38 ) ETFs.
However, since there are no US-listed spot XRP ( $1.38 ) ETFs suitable for the fund’s investment or as a reference asset, the X XRP ( $1.38 ) ETF will initially base its XRP ( $1.38 ) swaps on several XRP ( $1.38 ) ETPs listed on European exchanges. These include 21Shares XRP ( $1.38 ) ETP, Bitwise Physical XRP ( $1.38 ) ETP, Virtune XRP ( $1.38 ) ETP, WisdomTree Physical XRP ( $1.38 ) ETP, and CoinShares Physical XRP ( $1.38 ) ETP.
Teucrium Investment Advisors, currently managing $311 million in assets, specializes in providing ETFs focused on alternative investments, such as agricultural commodities and other niche markets.
Prior to the X XRP ( $1.38 ) fund, Teucrium had already launched a Bitcoin (
$110,171.00 ) futures ETF, called the Teucrium Bitcoin ( $110,171.00 ) Futures Fund. The product launched in April 2022 after being approved by the SEC under the Securities Act of 1933.
According to its prospectus, Teucrium is also seeking to launch a short version of the Teucrium 2x Long Daily XRP ( $1.38 ) ETF, dubbed the Teucrium 2x Short Daily XRP ( $1.38 ) ETF. The leveraged inverse ETF would allow investors to potentially profit from daily declines in the price of XRP ( $1.38 ) .
According to Sal Gilbertie, founder and CEO of Teucrium ETFs, the decision to launch the leveraged XRP ( $1.38 ) ETF at this time was influenced by attractive low prices.
He also noted that there was considerable investor demand for XRP ( $1.38 ) , which he expects would be heightened by the fund’s leverage.
XRP ( $1.38 ) was trading at $1.9 at press time, up 1% in the last 24 hours, according to CoinGecko.
The launch comes as the years-long legal battle between the SEC and Ripple Labs, the company behind XRP ( $1.38 ) , approaches the final line, as confirmed by Ripple CEO Brad Garlinghouse last month.
Garlinghouse, speaking in a recent interview with Bloomberg, said that he anticipates the launch of multiple XRP ( $1.38 ) ETFs in the US during the second half of 2025.
The favorable settlement with the SEC immediately boosted market optimism, pushing the odds of XRP ( $1.38 ) ETF approval to 86% and increasing XRP ( $1.38 ) ’s value by 14%.
In the US, several asset managers—including Bitwise, Canary Capital, 21Shares, WisdomTree, CoinShares, Grayscale, and Franklin Templeton—have already submitted filings to the SEC for their own XRP ( $1.38 ) ETFs.
ProShares and Volatility Shares are also seeking a regulatory nod for XRP ( $1.38 ) -linked investment products.
According to Nate Geraci, President of The ETF Store, the outcome of the suit could prompt major players like BlackRock and Fidelity to consider joining the XRP ( $1.38 ) ETF race.
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