Teucrium’s Leveraged Fund to Launch as the First XRP ETF in the U.S. on Tuesday

Key Points to Know:

• Teucrium Investment Advisors will debut the first-ever XRP ETF in the U.S., offering 2x leveraged exposure on the NYSE Arca exchange.

• This ETF launch comes ahead of the approval of a traditional spot XRP ETF, which is uncommon for new asset classes.

• Teucrium cautions that XRP's price volatility and declining usage on the Ripple network could pose challenges for the fund’s performance.

Teucrium Investment Advisors is set to introduce the first XRP exchange-traded fund (ETF) in the U.S.

The Teucrium 2x XRP ETF (XXRP) will offer investors 2x leveraged exposure to the Ripple token. XXRP is scheduled to begin trading on the NYSE Arca on Tuesday, ahead of the approval of a standard "spot" XRP ETF by regulators.

"It's very unusual (possibly a first) for a new asset’s first ETF to be leveraged. Spot XRP still isn't approved, but our chances are pretty high," said Eric Balchunas, a Bloomberg Intelligence analyst, in a post on X.

Typically, ETFs for emerging assets like cryptocurrencies start with unleveraged "spot" funds — those that directly hold the underlying asset — before moving on to more complex leveraged products.

Teucrium will charge a management fee of 1.85%. The company has also warned that XRP's price volatility and the declining usage on the Ripple network could create challenges for the fund's performance, reflecting wider concerns about the token’s adoption and market stability.

Ripple’s Legal Resolution Boosts ETF Momentum
Teucrium’s leveraged ETF arrives as a wave of spot XRP ETF applications remains under SEC review. Leading fund managers such as WisdomTree, Bitwise, 21Shares, Canary Capital, and Franklin Templeton have all filed proposals to launch unleveraged XRP ETFs.

The SEC has already taken note of these applications, and upcoming decisions could pave the way for more XRP investment products.

XRP has risen 6.5% in the past 24 hours, aligning with a broader positive market trend.