Company: OSOL
Filing Date: 2025-10-22
Form Type: S-1
Source: 0001493152-25-018952
Chunk: 165

Company: Osprey Solana Trust
Filing Date: 2025-10-22
Form: S-1
Chunk 165
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 versus hot storage is determined by ongoing risk analysis and market dynamics, in which the Prime Execution Agent attempts to balance anticipated liquidity needs for its customers as a class against the anticipated greater security of cold storage.

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The Prime Execution Agent is not required by the Prime Execution Agent Agreement to hold any of the SOL in the Trust’s Trading Balance in cold storage or to hold any such SOL in segregation, and neither the Trust nor the Sponsor can control the method by which the Prime Execution Agent holds the SOL credited to the Trust’s Trading Balance. The Prime Execution Agent relies on bank accounts to provide its trading platform services and including temporarily holding any cash related to a customer’s purchase or sale of SOL.

The Prime Execution Agent Agreement is in effect until terminated and can be terminated for any reason by either party with 30 days’ prior notice to the other party, provided that the Prime Execution Agent’s termination shall not be in effect until the Trust is fully satisfied with its obligations under the Prime Execution Agent Agreement. Notwithstanding the foregoing, the Prime Execution Agent may suspend its obligations under the Prime Execution Agent Agreement upon the Trust’s default thereof, without prior notice. The Prime Execution Agent Agreement is governed by New York law and provides that disputes arising under it are subject to arbitration.

Coinbase Global maintains a commercial crime insurance policy, which is intended to cover the loss of client assets held by Coinbase Global and all of its subsidiaries, including the Prime Execution Agent. The insurance maintained by the Coinbase Insureds is shared among all of Coinbase’s customers, is not specific to the Trust or to customers holding SOL with the SOL Custodian or Prime Execution Agent and may not be available or sufficient to protect the Trust from all possible losses or sources of losses.

The Marketing Agent

Foreside Fund Services, LLC (“Foreside”) serves as the marketing agent for the Trust.

Description of the Marketing Agent Agreement

Pursuant to a Marketing Agent Agreement between the Sponsor and the Marketing Agent, the Marketing Agent receives an annual fee and is reimbursed for certain out-of-pocket fees and expenses incurred in connection with its services. Under the Marketing Agent Agreement, the Marketing Agent provides the following services to the Sponsor: (i) assists the Trust in facilitating Participant Agreements between and among Authorized Participants, the Trust, and the Transfer Agent; (ii) provides prospectuses to Authorized Participants; (iii) works with the Transfer Agent to review and approve orders placed by the Authorized Participants and transmitted to the Transfer Agent; (iv) reviews and files applicable marketing materials with FINRA and