Teucrium launches the first leveraged XRP ETF in US

Teucrium Investment Advisors Llc. is about to launch the first leveraged XRP ETF in the United States after receiving approval from the Securities and Exchange Commission (SEC). Trading will begin on April 8 on NYSE Arca trading platform under the ticker XXRP. The exchange-traded fund is designed to deliver twice the daily return of XRP through the use of swap agreements. These data are presented by CoinMarketCap.

As an example, experts mention the following situation: if XRP price rises by 1%, the return of ETFs will increase by 2%. However, the risk of losses in this case will also double. This makes the fund a risky instrument designed for investors who are focused on short-term transactions and can accurately assess daily market fluctuations.

According to Teucrium's plan, the fund management fee will be 1.89%. Several indices, as well as European ETPs, will be used to determine the price of swap agreements. They will serve as benchmarks because there are no traded spot XRP ETFs in the US yet.

CoinMarketCap also specifies that Teucrium has previously had experience in creating funds for digital currencies. This makes it an experienced player in the field of crypto-ETFs.