Company: DEFI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001999371-25-006264
Chunk: 28

Company: Tidal Commodities Trust I
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 28
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, was primarily due to a decrease in futures contracts purchased, liquidated, and rolled given the Fund’s current policy
to maximize its holdings of physical bitcoin instead of CME-traded bitcoin futures contracts.

The
graph below shows the actual shares outstanding, total net assets (or AUM) and net asset value per share (NAV per share) for the
Fund from inception to March 31, 2025 and serves to illustrate the relative changes of these components.

F-25 

Off
Balance Sheet Financing

The
Trust or Fund has no obligations, assets or liabilities which would be considered off-balance sheet arrangements as of March 31, 2025. Neither the Trust nor the Fund participates in transactions that create relationships with unconsolidated entities or
financial partnerships, often referred to as variable interest entities, which would have been established for the purpose of
facilitating off-balance sheet arrangements. Neither the Trust nor the Fund have entered into any off-balance sheet financing
arrangements, established any special purpose entities, guaranteed any debt or commitments of other entities, or purchased any
non-financial assets.

Liquidity
and Capital Resources

The
Fund does not anticipate making use of borrowings or other lines of credit to meet its obligations. The Fund meets its liquidity
needs in the normal course of business from the proceeds of the sale of its investments, from the cash and cash equivalents that
it intends to hold, and/or from the fee waivers provided by the Sponsor. The Fund’s liquidity needs include redeeming its
Shares, providing margin deposits for existing Bitcoin Futures Contracts or the purchase of additional Bitcoin Futures Contracts,
posting collateral for over-the-counter contracts, and paying expenses.

In
order to collateralize positions in Bitcoin Futures Contracts, a portion of the NAV of the Fund is held in cash and cash equivalents,
such as short-term Treasury Securities, demand deposits, money market funds and investments in commercial paper. A portion of
these investments may be posted as collateral in connection with Bitcoin Futures Contracts. The percentage that cash and cash
equivalents bear to the shareholders’ equity of the Fund varies from period to period as the market values of the Bitcoin
Futures Contracts change. The Fund earned $183 and $178,749, respectively, in interest income during the three months ended March
31, 2025 and 2024.

If
the Fund’s ability to obtain exposure to Bitcoin Futures Contracts in accordance with its investment objective is disrupted
for any reason, including limited liquidity in