Company: DEFI
Filing Date: 2025-03-17
Form Type: S-1/A
Source: 0001387131-25-000058
Chunk: 251

Company: Tidal Commodities Trust I
Filing Date: 2025-03-17
Form: S-1/A
Chunk 251
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 Dodd-Frank Act, supporters and opponents have debated the scope of the legislation. As the Administrations of the U.S.
change, the interpretation and implementation will change along with them. Nevertheless, regulatory reform of any kind may have
a significant impact on U.S. regulated entities.

Spot Market Transactions

Spot markets, on the
other hand, are largely unregulated and rely on pricing sources that track over-the-counter (OTC) transactions. For cryptoassets,
including bitcoin, these OTC transactions are relatively new and usually take place in the so-called crypto exchanges or digital
asset trading platforms.

Digital asset trading
platforms are relatively new and, in some cases, unregulated. Furthermore, while many prominent digital asset trading platforms
provide the public with significant information regarding their ownership structure, management teams, corporate practices and
regulatory compliance, many digital asset trading platforms do not provide this information. Digital asset trading platforms do
not appear to be subject to, or may not comply with, regulation in a similar manner as other regulated trading platforms, such
as national securities trading platforms or designated contract markets. These markets are local, national and international and
include a broadening range of digital assets and participants. Significant trading may occur on systems and platforms with minimum
predictability. Furthermore, many spot markets and over-the-counter market venues do not provide the public with significant information
regarding their ownership structure, management teams, corporate practices or oversight of customer trading. As a result, the marketplace
may lose confidence in digital asset trading platforms, including prominent trading platforms that handle a significant volume
of bitcoin trading.

Many digital asset
trading platforms are unlicensed, unregulated, operate without extensive supervision by governmental authorities, and do not provide
the public with significant information regarding their ownership structure, management team, corporate practices, cybersecurity,
and regulatory compliance. In particular, those located outside the United States may be subject to significantly less stringent
regulatory and compliance requirements in their local jurisdictions. As a result, trading activity on or reported by these digital
asset trading platforms is generally significantly less regulated than trading in regulated U.S. securities and commodities markets,
and may reflect behavior that would be prohibited in regulated U.S. trading venues.

Position Limits, Aggregation Limits, Price Fluctuation Limits

The CFTC and US futures
exchanges impose limits on the maximum net long or net short speculative positions that any person may hold or control in any particular
futures or options contracts traded on US futures exchanges. For example, the