Teucriumhasbroadeneditssuite ofdigital assetproductswith theintroductionof the Teucrium 2x Long Daily XRP ETF XXRP, whichstartedtrading on April 8. The fund isstructuredtodoublethe daily return of XRP, theXRPLedger’snativedigitalcurrency, before fees and expenses.
XXRPisTeucrium’snewestattempttoofferadvancedinvestorsregulated, exchange-tradedaccessto cryptocurrency markets withoutdirectly owning the underlying asset.Throughleveraged exposure, Teucrium isdirectedatshort-term traders with high-convictionviews on XRP’sdaily pricedirection.
In an interview with Benzinga, Teucrium CEO Sal Gilbertiediscussedwhy XRPspecificallywas the foundation for this leveraged vehicle.
“XRP has consistently ranked among the most traded digital assets globally, not just in terms of volume, but also in its utility," Gilbertie said. "The XRP Ledger is known for its speed, low transaction costs, and growing adoption in global payments and settlement frameworks. We're not making a call on XRP's long-term price, but we recognize the trading interest and short-term price momentum that active traders look for. That makes XRP a prime candidate for a tool like XXRP, which is designed for those who have a high-conviction, short-term directional view."
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Strategic Fit Within Teucrium's Broader Vision
While most widely recognized for its agricultural commodity ETFs, Teucrium has increasingly tended toward bridging conventional financial architecture with new asset classes like digital assets.
"XXRP is a natural extension of that philosophy," Gilbertie said. "We've built a reputation around offering access to alternative asset classes through regulated, exchange-traded products. Our legacy in agricultural ETFs demonstrates our ability to structure investment solutions for investors seeking exposure to alternative markets."
He clarified that the firm is not reacting to short-term market mania but creating a long-term plan to facilitate the infrastructure for regulated involvement in digital assets.
Intended Use And Investor Suitability
Gilbertie was candid about theintended useof the product. XXRP is notintendedfor long-term investors or passive strategies.
"XXRP is designed to be a short-term, tactical tool," he said. "It aims to deliver 2x the daily performance of XRP, before fees and expenses, for a single day.XXRP is for sophisticated investors who want to express a high-conviction, shorter view on XRP."
Leveraged ETFs are complex and come with risks that many investors might not fully appreciate. Teucrium recognizes this and has placed tremendous emphasis on investor education.
"No investors should trade these products without first reading the prospectus. This is not our first foray into the world of leveraged ETFs. We have two additional leveraged ETFs (the Teucrium 2x Daily Corn ETF, CXRN & the Teucrium 2x Daily Wheat ETF, WXET)," Gilbertie told Benzinga.
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Regulatory Landscape And Timing
The move to roll out a leveraged XRP fund in the face of ongoing regulatory pressure against Ripple Labs—the firm tied to XRP—has timing and risk implications. The SEC’s ongoing legal battle over the status of XRP as a security continues to hang over the token’s regulatory fate.
Gilbertie explained that the timing of the rollout was more based on the regulatory process, as opposed to reacting to short-term market movements.
"The timing is largely determined by the regulatory review process. We observed the marketplace and determined that there was an opportunity for a 2x leveraged XRP ETF. We filed with the regulatory authorities and launched as soon as possible as a result of the review process," he said.
Benzinga asked Gilbertie if Ripple Labs' legal situation affects the fund's viability. "We're focused on our mission which is committed to operating a viable ETF. In this case it is largely dependent on the ongoing viability of XRP. There is no guarantee that usage of XRP will grow; declining or increasing usage could heighten volatility or lower XRP’s price, negatively affecting the Fund."
Outlook And Future Products
And then there’s the question of who will adopt XXRP, which fund should capture both institutional and individual, self-directed retail traders.
As for who is expected to adopt XXRP, the fund is likely to pull in both institutional and self-directed retail traders.
"XXRP will naturally appeal to active traders, wherever they sit. There has been broad adoption of crypto products across the investment landscape, institutional investors and retail investors alike,” Gilbertie said. “We expect XXRP will be adopted mostly by the sophisticated trader who has high conviction in XRP's daily price moves. Again, that might be a financial professional, or a self-direct investor trading on a retail platform. In all likelihood, it's both."
Asformetricsof success, Teucrium ismoreconcernedwithmarket quality and liquidity than headline AUM.
"Success isn’t purely about AUM—it's also about liquidity, market quality, and investor satisfaction," Gilbertie said. "That said, we'd like to see steady growth in daily trading volume and tight bid-ask spreads over the next few quarters. If we hit $25 to $50 million in AUM with consistent secondary market activity, we'd consider that a healthy start. XXRP serves a niche, so it's not about chasing billions—it's about delivering value to the right audience."
With the introduction of XXRP, Teucrium has presented an advanced trading vehicle intended for active traders looking for increased daily exposure to XRP. Though the fund presents an additional avenue for tactical crypto trading in a regulated framework, it also highlights the importance of being an educated participant.
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