Franklin XRP ETF

What they do

The Trust operates a single series, the Franklin XRP ETF, which issues shares on NYSE Arca under the ticker XRPZ. The Fund passively holds XRP and issues/redeems shares only in Creation Units (blocks of 50,000 shares) to Authorized Participants in exchange for cash. The Fund does not use leverage or derivatives and is not registered under the Investment Company Act of 1940.

Revenue drivers

• Sponsor's Fee — Accrued daily at an annualized rate of 0.19% of the Fund's net asset value, payable quarterly in arrears. This is the Fund's only ordinary recurring expense.
• Fund Performance — The value of the Fund's assets directly tracks the price of XRP. As of March 31, 2026, total assets were $215.1 million, reflecting the value of XRP held, net of the Sponsor's fee.
• Creation Unit Issuance — The Fund continuously issues Creation Units at NAV in exchange for cash, which is used to purchase XRP. This drives asset growth and, consequently, the Sponsor's fee.

Recent performance

The Fund commenced operations on November 24, 2025, with seed capital of $100,000, later converted into 1,086,120.68 XRP purchased at $2.0458 per XRP in November 2025. As of March 31, 2026, the Fund reported total assets of $215.1 million and no liabilities. The Trust's 10-K and 10-Q filings do not disclose a net income figure or revenue other than the Sponsor's fee, which is disclosed in the financial statements. The recent performance is primarily driven by changes in XRP's market price.

Strategy

The Fund's stated objective is to reflect the performance of XRP before expenses, providing a cost-effective, passive investment vehicle. It does not actively manage XRP holdings and will not use leverage or derivatives. The Sponsor has agreed to assume ordinary Fund fees and expenses, including up to $500,000 per annum in legal fees, in exchange for the Sponsor's fee. The Trust continues to issue and redeem Creation Units to meet investor demand, with shares traded on NYSE Arca.

Risks

• XRP price volatility — Extreme volatility in XRP prices could cause the value of the Shares to fluctuate significantly and could result in a total loss of investment.
• Custody and private key risk — XRP is held by Coinbase Custody, and loss, theft, or compromise of private keys could result in a permanent loss of the Fund's assets.
• Digital asset acceptance — The value of the Shares depends on the continued acceptance and adoption of XRP; declining confidence could adversely affect the Fund.
• Competition from other products — The Fund faces competition from other XRP investment products, and differences in fee structure, liquidity, or trading volume could affect its scale and sustainability.

Outlook

Management emphasizes the risks of price volatility and the newness of digital assets, with no assurances on future performance. The Fund's future success depends on investor demand for XRP exposure and the continued operation of the XRP Ledger. As of the latest filings, no forward-looking guidance has been provided beyond the Fund's passive investment objective.