Odaily News Alternative asset manager Teucrium Investment Advisors LLC has officially launched a leveraged ETF tied to the XRP cryptocurrency, the first product in the U.S. market to offer such exposure. XRP is the world’s fourth-largest cryptocurrency by market value, with a market cap of about $111 billion, and is the core asset in the recent U.S. regulators’ investigation into Ripple Labs Inc.
According to Teucrium’s official website, this product called “Teucrium 2x Long Daily XRP ETF” will achieve a double leveraged return on XRP’s daily earnings through swap contracts, and will be officially listed on the trading platform on Tuesday with the trading code XXRP and an annualized expense ratio of 1.85%.
The launch of this product marks another bold attempt by traditional financial institutions to deploy crypto assets, and also reflects the market's growing attention to the potential of XRP. It is worth mentioning that there are currently no active XRP futures contract transactions on mainstream commodity trading platforms in the United States, but Teucrium stated in the fund prospectus that XRP futures and other financial instruments that can provide exposure to the asset may be included in the future.
Teucrium was founded in 2010 and currently manages $311 million in assets, with 12 ETFs covering a variety of alternative markets. (Bloomberg)