The alternative asset management company Teucrium Investment Advisors LLC has officially launched a leveraged Ripple Exchange Traded Funds i.e., XRP ETF, making it the first investment firm in the US market to offer this kind of crypto exposure.
Teucrium Launches XRP ETF Today
According to the Teucrium website, this product, named the “Teucrium 2x Long Daily XRP ETF,” will aim to achieve twice the leveraged return of XRP’s daily performance through futures contracts. It will be officially listed on the trading platform today with the ticker symbol XXRP and an annual expense ratio of 1.85%. While additional information, including the closing price and discount, is yet to be released, as of today, the shares outstanding are 80,001, and the total net assets are $2,000,025.
The website states, “With XXRP, investors may gain exposure to the XRP market with less capital than would be required to buy the equivalent derivatives outright.”
The launch of this product is a bold attempt by Teucrium, as the firm is usually known for offering ETFs focused on traditional and even agro-based products, such as WEAT, CORN, and SOYB. With the XRP ETF, the firm sees its first-ever crypto ETF offering. Note that there are currently no active XRP futures contracts trading on mainstream US commodity exchanges. Moreover, Teucrium has indicated that XRP futures and other financial instruments providing exposure to this asset may be included in the future.
Teucrium currently manages assets totaling $311 million and has 12 ETFs covering various alternative markets under its management.
As for XRP, the cryptocurrency is currently trading at $1.91 after experiencing a dip of 0.43% in the past day. XRP is the fourth-largest cryptocurrency by market capitalization globally, with a market cap of approximately $111 billion, and has long been one of the most anticipated ETFs, thanks to its huge popularity on Crypto Twitter.
Also Read: XRP Price Near Make-or-Break Support as Derivatives Surge 24%
