#XRPETF ETF is an exchange-traded fund that has XRP as its underlying asset. Here is a detailed introduction about it:

Definition and Operating Principle

• XRP ETF is a financial product that holds XRP as the underlying asset and issues fund shares. After investors purchase shares, they can trade these shares on the secondary market like stocks, thereby indirectly gaining exposure to the price fluctuations of XRP without the need to directly buy, store, or manage XRP.

• Its price is mainly determined by the value of XRP, but is also influenced by factors such as the fund's net asset value (NAV). NAV is calculated by dividing the total value of XRP held by the fund by the number of ETF shares outstanding, providing a benchmark for the ETF's market price.

• When the market price of ETF shares is higher than the NAV, authorized participants (AP) can buy XRP and redeem it with the fund in exchange for ETF shares, then sell those shares on the market at a premium; conversely, when the price of ETF shares is lower than the NAV, APs buy ETF shares and redeem them for XRP, then sell XRP on the market, using this arbitrage mechanism to keep the ETF price in line with the NAV.

Initially, I thought $XRP .