Document:

GraniteShares Gold Trust S-1/A

 

Exhibit
10.3 

 

MARKETING
SERVICES AGREEMENT

 

 THIS
AGREEMENT is made and entered into as of this 24th day of July, 2017 on behalf of GraniteShares Gold Trust (the “Trust”)
by and between GraniteShares, LLC, a Delaware limited liability company with its principal office and place of business at 30
Vesey Street 9th Floor, New York, New York 10007, as agent of the Trust (the “Client”) and Foreside Fund
Services, LLC, a Delaware limited liability company (“Foreside,” and together with the Client, each, a “Party,”
and collectively, the “Parties”). Capitalized terms used but not defined in this Agreement shall have the meaning
ascribed thereto in the Trust’s Prospectus included its Registration Statement on Form S-1 (Registration No. 333-219319),
as it may be amended from time-to-time. 

 

WHEREAS,
the establishment, operation and administration of the Trust will be governed in accordance with the terms of a certain Depository
Trust Agreement (the “Trust Agreement”); and

 

WHEREAS,
the Client, as sponsor of the Trust and on behalf of the Trust, has filed with Securities and Exchange Commission (the “Commission”
or “SEC”) a registration statement on Form S-1 (CIK No. 0001690437) (together as applicable with amendments thereto),
including as part thereof a prospectus (the “Prospectus”), under the Securities Act of 1933 (the “1933 Act”),
the forms of which have heretofore been delivered to the Marketing Agent; and

 

WHEREAS,
the Trust Agreement provides that the Client, as sponsor of the Trust, shall be responsible for the marketing expenses of the
Trust; and

 

WHEREAS,
the Trust and the Client wish to employ Foreside to provide certain services for the Trust and the Client on the terms and conditions
hereinafter set forth and additional services as may be agreed from time-to-time; and

 

WHEREAS,
Foreside is registered as a broker-dealer under the Securities Exchange Act of 1934 (the “1934 Act”), and is a member
of the Financial Industry Regulatory Authority, Inc. (“FINRA”).

 

NOW
THEREFORE, in consideration of the promises and mutual covenants herein contained, and for other good and valuable consideration,
the receipt of which is hereby acknowledged, the parties hereto, intending to be legally bound, do hereby agree as follows:

 

1.           Services.

 

A.          Foreside
agrees to provide the services listed in Exhibit A.

 

B.          Pursuant
to a certain Securities Activities and Services Agreement, Foreside will hold the FINRA registration of certain employees of an
affiliate of the Client who will market the Trust.

 

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C.          Foreside
shall perform all duties set forth herein in compliance with all applicable laws and any exemptions thereof (including state and
federal securities laws) as well as the laws, rules, and/or regulations of the securities exchanges and all other governmental,
regulatory and self-regulatory authorities and organizations having jurisdiction over them.

 

D.          The
services furnished by Foreside hereunder are not to be deemed exclusive and Foreside shall be free to furnish similar services
to others so long as its services under this Agreement are not impaired thereby.

 

2.           Delivery
of Documents. Contemporaneous with the effective date of this Agreement, the Client shall deliver to Foreside copies of the
following documents:

 

			the
                                         then current Prospectus for the Trust;

			any
                                         relevant policies and procedures adopted by the Client or the Trust or its service providers
                                         that are applicable to the services provided by Foreside; and

			any
                                         other documents, materials or information that Foreside shall reasonably request to enable
                                         it to perform its duties pursuant to this Agreement.

 

The
Client shall thereafter deliver to Foreside as soon as is reasonably practical any and all amendments to the documents required
to be delivered under this Section.

 

3.           Representations,
Warranties and Covenants of the Client.

 

A.          The
Client hereby represents and warrants to Foreside, which representations and warranties shall be deemed to be continuing throughout
the term of this Agreement, that:

 

		(i)	it
                                         is duly organized and in good standing under the laws of its jurisdiction of organization;

 

		(ii)	this
                                         Agreement has been duly authorized, executed and delivered by the Client and, when executed
                                         and delivered, will constitute a valid and legally binding obligation of the Client,
                                         enforceable in accordance with its terms, subject to bankruptcy, insolvency, reorganization,
                                         moratorium and other laws of general application affecting the rights and remedies of
                                         creditors and secured parties;

 

		(iii)	it
                                         is conducting its business in compliance in all material respects with all applicable
                                         laws and regulations, both state and federal, and has obtained all regulatory approvals
                                         necessary to carry on its business as now conducted;

 

		(iv)	the
                                         Prospectus has been prepared in conformity with the requirements of the 1933 Act; and

 

		(vi)	it
                                         not required to be registered as an investment adviser under the Investment Advisers
                                         Act of 1940 (the “Advisers Act”).

 

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		(vii)	all
                                         necessary approvals, authorizations, consents or orders of or filings with any federal,
                                         state, local or foreign governmental or regulatory commission, board, body, authority
                                         or agency have been or will be obtained by the Trust in connection with the issuance
                                         and sale of the Shares, including registration of the Shares under the 1933 Act, and
                                         any necessary qualification under the securities or blue sky laws of the various jurisdictions
                                         in which the Shares are being offered.

 

B.          The
Client shall fully cooperate in the efforts of Foreside in the provision of the services. In addition, the Client shall keep Foreside
fully informed of its affairs as they relate to the provision by Foreside of the services under this Agreement and shall provide
to Foreside from time to time copies of all information that Foreside may reasonably request for use in connection with the provision
of the Services.

 

4.           Representations,
Warranties and Covenants of Foreside.

 

A.          Foreside
hereby represents and warrants to the Client, which representations and warranties shall be deemed to be continuing throughout
the term of this Agreement, that:

 

		(i)	it
                                         is duly organized and existing under the laws of the jurisdiction of its organization,
                                         with full power to carry on its business as now conducted, to enter into this Agreement
                                         and to perform its obligations hereunder;

 

		(ii)	this
                                         Agreement has been duly authorized, executed and delivered by Foreside and, when executed
                                         and delivered, will constitute a valid and legally binding obligation of Foreside, enforceable
                                         in accordance with its terms, subject to bankruptcy, insolvency, reorganization, moratorium
                                         and other laws of general application affecting the rights and remedies of creditors
                                         and secured parties;

 

		(iii)	it
                                         is conducting its business in compliance in all material respects with all applicable
                                         laws and regulations, both state and federal, and has obtained all regulatory approvals
                                         necessary to carry on its business as now conducted; and

 

		(iv)	it
                                         is registered as a broker-dealer under the 1934 Act and is a member in good standing
                                         of FINRA.

 

B.          In
connection with all matters relating to this Agreement, Foreside will comply with the applicable requirements of the 1933 Act,
the 1934 Act, the regulations of FINRA and any other applicable self-regulatory organization, and all other applicable federal
or state laws and regulations.

 

5.           Compensation.
As compensation for the services performed and the expenses assumed by Foreside under this Agreement, Foreside shall be entitled
to the fees and expenses set forth in Exhibit B.

 

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6.           Indemnification.

 

A.          The
Client shall indemnify, defend and hold Foreside, its affiliates and each of their respective members, managers, directors, officers,
employees, representatives and any person who controls or previously controlled Foreside within the meaning of Section 15 of the
1933 Act (collectively, the “Foreside Indemnitees”), free and harmless from and against any and all losses, claims,
demands, liabilities, damages and expenses (including the costs of investigating or defending any alleged losses, claims, demands,
liabilities, damages or expenses and any reasonable counsel fees incurred in connection therewith) (collectively, “Losses”)
that any Foreside Indemnitee may incur under the 1933 Act, the 1934 Act, any other statute (including Blue Sky laws) or any rule
or regulation thereunder, or under common law or otherwise, arising out of or relating to (i) the Client’s breach of any
of its obligations, representations, warranties or covenants contained in this Agreement; (ii) the Client’s failure to comply
with any applicable securities laws or regulations; or (iii) any claim that the Prospectus, sales
literature and advertising materials or other
information filed or made public by the Client (as from time to time amended) include or included an untrue statement of a material
fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements therein not
misleading under the 1933 Act, or any other statute or the common law, or any rule of FINRA or of the SEC or any other jurisdiction
wherein Shares of the Trust are sold, provided, however, that the Client’s obligation to indemnify any of the Foreside Indemnitees
shall not be deemed to cover any Losses arising out of any untrue statement or alleged untrue statement or omission or alleged
omission made in the Prospectus or any such advertising materials or sales literature in reliance upon and in conformity with
information relating to Foreside and furnished to the Client or its counsel by Foreside in writing and acknowledging the purpose
of its use. In no event shall anything contained herein be so construed as to protect Foreside against any liability to the Client
to which Foreside would otherwise be subject by reason of willful misfeasance, bad faith, or gross negligence in the performance
of its duties under this Agreement or by reason of its reckless disregard of its obligations under this Agreement.

 

The
Client’s agreement to indemnify the Foreside Indemnitees with respect to any action is expressly conditioned upon the Client
being notified of such action or claim of loss brought against any Foreside Indemnitee, within a reasonable time after the summons
or other first legal process giving information of the nature of the claim shall have been served upon such Foreside Indemnitee,
unless the failure to give notice does not prejudice the Client.

 

B.          The
Client shall be entitled to participate at its own expense in the defense or, if it so elects, to assume the defense of any suit
brought to enforce any such Losses, but if the Client elects to assume the defense, such defense shall be conducted by counsel
chosen by the Client and approved by Foreside, which approval shall not be unreasonably withheld. In the event the Client elects
to assume the defense of any such suit and retain such counsel, the Foreside Indemnitee(s) in such suit shall bear the fees and
expenses of any additional counsel retained by them. If the Client does not elect to assume the defense of any such suit, or in
case Foreside does not, in the exercise of reasonable judgment, approve of counsel chosen by the Client or, if under prevailing
law or legal codes of ethics, the same counsel cannot effectively represent the interests of both the Client and the Foreside
Indemnitee(s), the Client will reimburse the Foreside Indemnitee(s) in such suit, for the fees and expenses of any counsel retained
by Foreside and them.

 

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C.          Foreside
shall indemnify, defend and hold the Client, its affiliates, and each of their respective directors, officers, employees, representatives,
and any person who controls or previously controlled the Client within the meaning of Section 15 of the 1933 Act (collectively,
the “Client Indemnitees”), free and harmless from and against any and all Losses that any Client Indemnitee may incur
under the 1933 Act, the 1934 Act, any other statute (including Blue Sky laws) or any rule or regulation thereunder, or under common
law or otherwise, arising out of or based upon (i) Foreside’s breach of any of its obligations, representations, warranties
or covenants contained in this Agreement; (ii) Foreside’s failure to comply with any applicable securities laws or regulations
or applicable rules and regulations of any self-regulatory organization, including, without limitation, FINRA; or (iii) any claim
that the Prospectus, sales literature and
advertising materials or other information filed
or made public by the Client (as from time to time amended) include or included an untrue statement of a material fact or omitted
to state a material fact required to be stated therein or necessary in order to make the statements not misleading, insofar as
such statement or omission was made in reliance upon, and in conformity with, information furnished to the Client by Foreside
in writing. In no event shall anything contained herein be so construed as to protect the Client against any liability to Foreside
to which the Client would otherwise be subject by reason of willful misfeasance, bad faith, or gross negligence in the performance
of its duties under this Agreement or by reason of its reckless disregard of its obligations under this Agreement.

 

Foreside’s
agreement to indemnify the Client Indemnitees is expressly conditioned upon Foreside being notified of any action or claim of
loss brought against a Client Indemnitee, such notification to be given by letter addressed to Foreside’s Legal Department,
within a reasonable time after the summons or other first legal process giving information of the nature of the claim shall have
been served upon the Client Indemnitee, unless the failure to give notice does not prejudice Foreside.

 

E.          Foreside
shall be entitled to participate at its own expense in the defense or, if it so elects, to assume the defense of any suit brought
to enforce any such Losses, but if Foreside elects to assume the defense, such defense shall be conducted by counsel chosen by
Foreside and approved by the Client Indemnitee, which approval shall not be unreasonably withheld. In the event Foreside elects
to assume the defense of any such suit and retain such counsel, the Client Indemnitee(s) in such suit shall bear the fees and
expenses of any additional counsel retained by them. If Foreside does not elect to assume the defense of any such suit, or in
case the Client does not, in the exercise of reasonable judgment, approve of counsel chosen by Foreside or, if under prevailing
law or legal codes of ethics, the same counsel cannot effectively represent the interests of both Foreside and the Client Indemnitee(s),
Foreside will reimburse the Client Indemnitee(s) in such suit, for the fees and expenses of any counsel retained by the Client
and them.

 

F.          No
person shall be obligated to provide indemnification under this Section 6 if such indemnification would be impermissible under
the 1933 Act, the 1934 Act or the rules of the FINRA; provided, however, in such event indemnification shall be provided under
this Section 6 to the maximum extent so permissible.

 

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7.           Limitations
on Damages. Neither Party shall be liable for any consequential, special or indirect losses or damages suffered by the other
Party, whether or not the likelihood of such losses or damages was known by the Party.

 

8.           Force
Majeure. Neither Party shall be liable for losses, delays, failure, errors, interruption or loss of data occurring directly
or indirectly by reason of circumstances beyond its reasonable control, including, without limitation, Acts of Nature (including
fire, flood, earthquake, storm, hurricane or other natural disaster); action or inaction of civil or military authority; acts
of foreign enemies; war; terrorism; riot; insurrection; sabotage; epidemics; labor disputes; civil commotion; or interruption,
loss or malfunction of utilities, transportation, computer or communications capabilities that are beyond the control of the Party,
and the other Party shall have no right to terminate this Agreement in such circumstances.

 

9.            Duration
and Termination.

 

A.          This
Agreement shall become effective as of the date first set forth above. Unless sooner terminated as provided herein, this Agreement
shall continue in effect for two years from the date hereof. Thereafter, if not terminated, this Agreement shall continue automatically
in effect for successive one-year periods.

 

B.          Notwithstanding
the foregoing, this Agreement may be terminated, without the payment of any penalty, upon no less than 60 days’ written
notice, by either the Client or by Foreside.

 

10.          Privacy.
In accordance with Regulation S-P, Foreside will not disclose any non-public personal information, as defined in Regulation
S-P, received from the Client or the Trust regarding any Trust shareholder; provided, however, that Foreside may disclose such
information to any party as necessary in the ordinary course of business to carry out the purposes for which such information
was disclosed to Foreside. Foreside shall have in place and maintain physical, electronic and procedural safeguards reasonably
designed to protect the security, confidentiality and integrity of, and to prevent unauthorized access to or use of, records and
information relating to consumers and customers of the Trust.

 

The
Client represents to Foreside that it has adopted a Statement of its privacy policies and practices as required by Securities
and Exchange Commission Regulation S-P and agrees to provide to Foreside a copy of that statement annually. Foreside agrees to
use reasonable precautions to protect, and prevent the unintentional disclosure of, such non-public personal information.

 

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11.          Confidentiality.
During the term of this Agreement, Foreside and the Client may have access to confidential information relating to such matters
as either party’s business, trade secrets, systems, procedures, manuals, products, contracts, personnel, and clients. As
used in this Agreement, “Confidential Information” means information belonging to Foreside or the Client which is
of value to such party and the disclosure of which could result in a competitive or other disadvantage to either party, including,
without limitation, financial information, business practices and policies, know-how, trade secrets, market or sales information
or plans, customer lists, business plans, and all provisions of this Agreement. Confidential Information does not include: (i)
information that was known to the receiving Party before receipt thereof from or on behalf of the disclosing party (“Disclosing
Party”); (ii) information that is disclosed to the receiving party (“Receiving Party”) by a third person who
has a right to make such disclosure without any obligation of confidentiality to the Party seeking to enforce its rights under
this Section; (iii) information that is or becomes generally known in the trade without violation of this Agreement by the Receiving
Party; or (iv) information that is independently developed by the Receiving Party or its employees or affiliates without reference
to the Disclosing Party’s information.

 

Each
party will protect the other’s Confidential Information with at least the same degree of care it uses with respect to its
own Confidential Information, and will not use the other party’s Confidential Information other than in connection with
its obligations hereunder. Notwithstanding the foregoing, a party may disclose the other’s Confidential Information if (i)
required by law, regulation or legal process or if requested by any applicable governmental agency or self-regulatory organization;
(ii) it is advised by counsel that it may incur liability for failure to make such disclosure; (iii) requested to by the other
Party; provided that in the event of (i) or (ii) the Disclosing Party shall give the other Party reasonable prior notice of such
disclosure to the extent reasonably practicable and cooperate with the other Party (at such other Party’s expense) in any
efforts to prevent such disclosure.

 

12.          Notices.
Any notice required or permitted to be given by any Party to the others shall be in writing and shall be deemed to have been
given on the date delivered personally or by courier service or 3 days after sent by registered or certified mail, postage prepaid,
return receipt requested or on the date sent and confirmed received by facsimile transmission to the other Party’s address
as set forth below:

 

Notices
to Foreside shall be sent to:

 

Foreside
Fund Services, LLC

Attn:
Legal Department

Three
Canal Plaza, Suite 100

Portland,
ME 04101

(207)
553-7110

Fax:
(207) 553-7151

 

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Notices
to the Client shall be sent to:

 

GraniteShares,
LLC

Attn:
Benoit Autier

30
Vesey Street, 9th Floor

New
York, NY 10007

Phone:
917-338-0565

Email:
benoit.autier@graniteshares.com

 

13.          Modifications. The terms of this Agreement shall not be
waived, altered, modified, amended or supplemented in any manner whatsoever except by a written instrument signed by Foreside
and the Client.

 

14.          Governing
Law. This Agreement shall be construed in accordance with the laws of the State of Delaware, without regard to the conflicts
of law principles thereof.

 

15.          Assignment.
This Agreement may not be assigned by either Party without the prior written consent of the other Party. This Agreement shall
be binding upon and inure to the benefit of the Parties’ representatives, successors, heirs, and permitted assigns, as applicable.
A change in control shall not be construed to be an assignment.

 

16.          Entire
Agreement. This Agreement constitutes the entire agreement between the Parties hereto and supersedes all prior communications,
understandings and agreements relating to the subject matter hereof, whether oral or written.

 

17.          Survival.
The provisions of Sections 6, 7, 10, and 11 of this Agreement shall survive any termination of this Agreement.

 

18.          Miscellaneous.
The captions in this Agreement are included for convenience of reference only and in no way define or delimit any of the provisions
hereof or otherwise affect their construction or effect. Any provision of this Agreement which may be determined by competent
authority to be prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability
in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. This Agreement shall
be binding upon and inure to the benefit of the parties hereto and their respective successors.

 

19.          Counterparts.
This Agreement may be executed by the Parties hereto in any number of counterparts, and all of the counterparts taken together
shall be deemed to constitute one and the same document.

 

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IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by a duly authorized officer on one or more counterparts
as of the date first above written.

 

	 	FORESIDE FUND SERVICES, LLC	 
	 	 	 	 
	 	By:	/s/
    Mark Fairbanks 	 
	 	 	Mark Fairbanks	 
	 	 	Vice President	 
	 	 	 	 
	 	GRANITESHARES, LLC	 
	 	 	 	 
	 	By:	/s/
    William Rhind 	 
	 	 	William Rhind	 
	 	 	Managing Member	 

 

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EXHIBIT
A

 

Services:

 

		1.	Review
                                         all proposed advertising materials and sales literature for compliance with applicable
                                         laws and regulations; file with appropriate regulators those advertising materials and
                                         sales literature as required; furnish to the Client any comments provided by regulators
                                         with respect to such materials and use its best efforts to obtain approval of such advertising
                                         materials by such regulators and sales literature when required.

 

		2.	Prepare
                                         and provide compliance policies and procedures for complying with applicable laws, rules
                                         and regulations under the 1933 Act, including, without limitation, Rules 134, 135 and
                                         433 under the Securities Act, and the rules and regulations of any applicable self-regulatory
                                         organizations, including the Financial Regulatory Authority (“FINRA”).

 

		3.	Consult
                                         with Trust’s legal counsel when requested in connection with the services provided
                                         pursuant to the Agreement.

 

		4.	Prepare,
                                         maintain and reproduce when requested all applicable books and records related to the
                                         services provided pursuant to the Agreement.

 

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EXHIBIT
B

 

Compensation

 

    	11GraniteShares Gold Trust S-1/A

 

Exhibit 10.4

 

LICENSE AGREEMENT

 

 THIS LICENSE AGREEMENT
(this “Agreement”) is entered into effective as of the 3rd day of July, 2017 (the “Effective Date”),
by and between The Bank of New York Mellon, a New York banking corporation (“Licensor”), and GraniteShares LLC, a
Delaware limited liability company, as sponsor to Licensed Products as defined below (“Licensee”). 

 

WHEREAS, Licensor
and Licensee have entered into a fee letter agreement (the “Fee Letter Agreement”) regarding the establishment and
maintenance of a gold investment product to be known as GraniteShares Gold Trust (the “Gold Trust”).

 

WHEREAS, in connection
with the Gold Trust, Licensee wishes to obtain a license under certain of Licensor’s patent rights, and Licensor wishes to
grant such license subject to the terms and conditions of this Agreement.

 

NOW THEREFORE, for
good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Licensor and Licensee agree
as follows:

 

1 .       CERTAIN DEFINITIONS.

 

For the purposes of this Agreement, the
following terms have the following meanings:

 

“Affiliate”
means any entity that directly or indirectly controls, is controlled by or is under common control with a party. In this context,
the term “control” means ownership of more than fifty percent (50%) of the voting securities of such entity (or, in
the case of a non-corporate entity, equivalent interests). The term “controlled” has a corollary meaning.

 

“Licensed Product”
means any gold investment product that is sold, sponsored or issued by Licensee in the Territory that is covered by or encompasses
a claim contained in Licensor Patent Rights, including, but not limited to the Gold Trust.

 

“Licensee Improvements” means
any improvement, enhancement, modification, derivative work or upgrade to any of Licensor Patent Rights made, conceived, reduced
to practice, affixed or otherwise developed by or on behalf of Licensee during the term of this Agreement and solely as exercised
under the License.

 

“Licensor Patent Rights” means:
(i) U.S. Patent Application No. 10/680,589, filed on October 6, 2003, entitled “Systems and Methods for Securitizing a Commodity”
(the “Patent Application”), (ii) all foreign and international counterparts filed by or on behalf of Licensor (iii)
all continuations, continuations-in-part, divisionals, substitutes and equivalents thereof relating to any of the foregoing patent
applications (iv) all letters patent that are or may be granted from any of the foregoing patent applications, and (v) all know-how
related to any of the foregoing patents and patent applications.

 

    1 

     

    

 

“Territory” means the United
States.

 

“Trust Agreement”
means a definitive agreement entered into among Licensee, Licensor and certain other parties that, among other things, establishes
a Licensed Product and sets forth the respective roles and responsibilities of Licensee and Licensor with respect to such Licensed
Product.

 

“Trustee” means any entity
designated to act in the capacity of any or all of the following, as the context requires: trustee, custodian, issuing agent, registrar,
agent, administrator or the like for and on behalf of (i) the sponsor, issuer or other entity offering shares in gold investment
product and/or (ii) any participant of the Gold Trust.

 

2.        LICENSE.

 

Subject to the terms
and conditions of this Agreement, Licensor hereby grants to Licensee a non-exclusive, personal and non-transferable (except as
provided in Article 12.1) license under Licensor Patent Rights for the term of this Agreement solely for the purpose of establishing,
operating and marketing the Licensed Products in the Territory (the “License”).

 

The License includes the limited right
of Licensee to grant sublicenses to its Affiliates, trustees, custodians and agents (each a “Sublicensee”), but solely
in connection with such Sublicensee’s establishment, operation and marketing of the Licensed Product and provided that Licensee
shall have previously entered into an enforceable, written agreement with each such Sublicensee on terms no less protective of
Licensor’s rights in the Licensor Patent Rights than the terms in this Agreement and shall provide Licensor with copies of
such agreements on request. For the avoidance of any doubt, the Sponsor is a permitted Sublicensee under this Agreement.

 

ALL RIGHTS NOT SPECIFICALLY AND EXPRESSLY
GRANTED TO LICENSEE IN THIS ARTICLE 2 ARE HEREBY RESERVED TO THE LICENSOR.

 

3.        COVENANT TO LICENSOR.

 

Licensee hereby covenants and agrees that
it will not, directly or indirectly, initiate or participate in any action of any kind against Licensor, its successors and Affiliates,
for their use of any Licensee Improvements in connection with establishing, operating or marketing gold investment products in
the Territory based, in whole or in part, on the securitization of any commodity, including currency. This covenant is perpetual,
personal, royalty-free and non-exclusive. This covenant shall survive termination or expiration of this Agreement for any reason
except termination for Licensor’s breach of this Agreement.

 

    2 

     

    

 

		4.	PAYMENT.

 

The grant of the License hereunder is in
consideration for the engagement of Licensor to act as Trustee for each Licensed Product under terms substantially as set forth
in the Fee Letter Agreement, or such other terms as the parties may mutually agree in writing hereafter. No additional payment
of royalties to Licensor shall be required as long as Licensor is so engaged.

 

In the event that Licensor is not engaged
to act as Trustee for a Licensed Product for any reason, then, to enjoy the benefit of the License with respect to such Licensed
Product, Licensee shall thereafter pay Licensor a royalty as follows:

 

(a)       The
Licensee shall pay Licensor a running royalty that will accrue daily at the annualized rate of 0.0500% (five basis points) of the
total gross adjusted assets of such Licensed Product.

 

(b)       The
five basis point running royalties described in the preceding subparagraph (a) shall be collectively identified hereinafter as
the “Royalty Fee.” Such Royalty Fee shall be due and payable within ten days following the end of each calendar month
for which such Royalty Fee has accrued and shall be subject to the Minimum Annual Royalty set forth the following subparagraph
(c).

 

(c)       Notwithstanding
subparagraph (a) above:

 

(i)       beginning
on the Effective Date, for each year in which there is one Licensed Product (which year shall be measured from the date that is
six months after the launch date of the Licensed Product; each such year being defined hereinafter as an “Annual Period”),
Licensee shall pay Licensor a minimum annual royalty (the “Minimum Annual Royalty”) of not less than Two Hundred Fifty
Thousand Dollars ($250,000) per Annual Period for such Licensed Product. If the aggregate Royalty Fees payable to Licensee over
an Annual Period for such Licensed Product is less than the Minimum Annual Royalty, then Licensee shall pay Licensor the difference
between the Minimum Annual Royalty and the aggregate Royalty Fees payable to Licensee over such Annual Period for such Licensed
Product, which payment shall be due and payable within 30 days after the end of the applicable Annual Period.

 

(ii)       beginning
on January 1, 2018, for each year in which there are seven or more Licensed Products (which year shall be measured from the date
that is six months after the launch date of the final Licensed Product to be launched; each such year being defined hereinafter
as an “Annual Period”), Licensee shall pay Licensor a Minimum Annual Royalty of not less than One Million Two Hundred
Fifty Thousand Dollars ($1,250,000) per Annual Period for such Licensed Products. If the aggregate Royalty Fees payable to Licensee
over an Annual Period for such Licensed Products are less than the Minimum Annual Royalty, then Licensee shall pay Licensor the
difference between the Minimum Annual Royalty and the aggregate Royalty Fees payable to Licensee over such Annual Period for such
Licensed Products, which payment shall be due and payable within 30 days after the end of the applicable Annual Period.

 

    3 

     

    

 

All payments to Licensor hereunder shall
be made in United States dollars either by corporate check to Licensor at the address specified in Article 12 (or such other address
as Licensor may hereafter designate in writing) or by wire transfer to a bank account designated by Licensor in writing. Payments
to Licensor hereunder shall be deemed made as of the day on which they are received by Licensor at such address or bank account.
Late payments shall accrue interest from the date due at rate that is the lesser of 1.5% per month or the maximum rate permitted
by law.

 

Except with respect to any taxes assessed
directly upon Licensor’s income, all amounts payable by Licensee under this Agreement are exclusive of any taxes that are
or may be assessed or imposed by any governmental authority in any jurisdiction in connection with establishing, operating and
marketing such Licensed Product, including without limitation, any sales, use, excise, value-added, personal property, export,
import or withholding taxes, which taxes shall all be assumed and paid by Licensee.

 

		5.	REPORTS, RECORDS AND
                                         AUDITS.

 

During the term of this Agreement, for
so long as Licensee has a royalty obligation to Licensor under the terms hereof, Licensee shall deliver to Licensor within ten
(10) days of the end of each calendar month a report setting forth in reasonable detail the Royalty Fee due to Licensor for such
calendar month and Licensee’s calculation of the same.

 

During the term of this Agreement, for
so long as Licensee has a royalty obligation to Licensor under the terms hereof and for three (3) years thereafter, Licensee shall
keep complete and accurate books and records in sufficient detail to enable Licensor to verify the amounts due to it hereunder.

 

During the term of this Agreement, for
so long as Licensee has a royalty obligation to Licensor under the terms hereof and for three (3) years thereafter, Licensor shall
have the right, through a qualified independent auditor, to review and audit the books and records of Licensee for the purpose
of verifying the accuracy of royalty payments made by Licensee under this Agreement. Such reviews and audits shall be conducted
with reasonable prior written notice to Licensee, at Licensee’s place of business and during Licensee’s normal business
hours, and shall not be conducted more than once per calendar year. Each review and audit hereunder shall be at Licensor’s
sole cost and expense; provided, however, that Licensee shall promptly reimburse Licensor for all costs and expenses actually incurred
in connection with a review and audit if the auditor determines that Licensee has underpaid by five percent (5%) or more during
the relevant period under examination. Licensee will promptly pay Licensor the amount of any underpayment revealed by a review
and audit, plus interest at the rate that is the lesser of 1.5% per month or the maximum rate allowed by law from the dates that
any unpaid amounts were due.

 

    4 

     

    

 

		6.	ENFORCEMENT.

 

Licensee shall promptly
(i) notify Licensor of any potential or actual infringement by a third party of Licensor Patent Rights of which Licensee becomes
aware, and (ii) provide to Licensor all evidence of such infringement in Licensee’s possession, custody or control. Licensor
shall have the sole right, but not the obligation, to initiate any legal action at its own expense against such infringement and
to recover damages and enforce any injunction granted as a result of any judgment in Licensor’s favor. Licensor shall have
sole control over any such action including, without limitation, the sole right to settle and compromise such action. In the event
of a dispute between Licensor and any third party regarding the infringement, validity or enforceability of Licensor Patent Rights,
Licensee agrees, at Licensor’s expense, to do all things reasonably requested by Licensor to assist Licensor in connection
with such dispute.

 

		7.	TERM AND TERMINATION.

 

This Agreement shall commence on the Effective
Date and, unless earlier terminated according to the terms of this Agreement, shall expire upon the expiration or lapse of the
last-to-expire or lapse of the Licensor Patent Rights (or, if earlier, upon the entry of a final order by a court of competent
jurisdiction, which order is not appealable or regarding which appeal is not taken, effectively holding that there is no valid
claim included in the Licensor Patent Rights).

 

During the term of this Agreement, Licensor
shall diligently prosecute and/or maintain Licensor Patent Rights. If no letters patent are granted on the applications specified
in Licensor Patent Rights or if all such applications are finally rejected without appeal being taken or are abandoned, withdrawn
or otherwise lapse, then the License granted pursuant to this Agreement shall terminate immediately. Licensor shall notify Licensee
promptly in writing if the foregoing events shall occur.

 

The License granted
pursuant to this Agreement will terminate immediately, without any requirement for Licensor to provide notice, with respect to
any Licensed Product that is terminated.

 

In addition, either party may terminate
this Agreement by written notice at any time if the other party materially breaches this Agreement and fails to cure such breach
with thirty (30) days following written notice thereof from the non-breaching party. Upon any termination or expiration of this
Agreement, all rights and obligations under this Agreement (including Licensee’s rights under the License) will immediately
terminate; provided, however, that the provisions of Articles 1, 8 (the second paragraph only), 10 (solely with respect Licensee’s
Losses based on or arising from Licensee’s exercise of its rights in accordance with this Agreement while the License was
in effect), 11 and 12, and any other provision that survives by its express terms, shall survive any termination or expiration
of this Agreement.

 

    5 

     

    

 

		8.	ACKNOWLEDGMENT OF RIGHTS.

 

Licensee hereby acknowledges
and agrees that, as between Licensor and Licensee, Licensor is the exclusive owner of all right, title and interest in and to the
Licensor Patent Rights. During the term of this Agreement, Licensee will not directly or indirectly: (i) initiate or participate
in any proceeding of any kind opposing the grant of any patent, or challenging any patent application, within the Licensor Patent
Rights, (ii) dispute the validity or enforceability of any patent within the Licensor Patent Rights or any of the claims thereof,
or (iii) assist any other Person to do any of the foregoing (except if required by court order or subpoena); provided, however,
the foregoing shall in no way limit Licensee’s ability to defend against or to mitigate any claim brought by Licensor against
Licensee.

 

During the term of this Agreement and thereafter,
Licensee shall not directly or indirectly interfere improperly with Licensor’s ability to negotiate with any potential licensee
under, or any potential purchaser of, the Licensor Patent Rights, or assist any other Person to do the foregoing (except if required
by court order or subpoena). This paragraph shall survive termination or expiration of this Agreement for any reason.

 

Any violation of this Article 8 will constitute
a material breach of this Agreement.

 

		9.	REPRESENTATIONS AND WARRANTIES.

 

Each party hereby represents and warrants
that (i) it has the power and authority to enter into this Agreement and perform its obligations hereunder; (ii) the execution
and delivery of this Agreement have been duly authorized and all necessary actions have been taken to make this Agreement a legal,
valid and binding obligation of such party enforceable in accordance with its terms; and (iii) the execution and delivery of this
Agreement and the performance by such party of its obligations hereunder will not contravene or result in any breach of the Certificate
of Incorporation or Bylaws of such party or of any agreement, contract, indenture, license, instrument or understanding or, to
the best of its knowledge, result in any violation of law, rule, regulation, statute, order or decree to which such party is bound
or by which they or any of their property is subject.

 

EXCEPT AS EXPRESSLY
SET FORTH IN THE FOREGOING, LICENSOR DOES NOT MAKE AND HEREBY EXPRESSLY DISCLAIMS ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, STATUTORY
OR OTHERWISE, REGARDING THE SUBJECT MATTER OF THIS AGREEMENT INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY,
TITLE, FITNESS FOR A PARTICULAR PURPOSE, OR NON-INFRINGEMENT.

 

		10.	INDEMNITY.

 

Each party shall defend, indemnify and
hold harmless the other party and such other party’s Affiliates, employees, officers, directors, and agents from and against
any liabilities, losses, damages, costs or expenses (including, without limitation, reasonable attorneys’ fees) (collectively,
“Losses”) resulting from or arising in connection with the breach by the indemnifying party of any of its representations,
warranties, covenants or obligations contained in this Agreement.

 

    6 

     

    

 

If any action, suit, proceeding (including,
but not limited to, any govermnental investigation), claim or dispute (collectively, a “Proceeding”) is brought or
asserted against a party for which indemnification is sought under this Agreement, the party seeking indemnification (the “Indemnified
Party”) shall promptly (and in no event more than seven (7) days after receipt of notice of such Proceeding) notify the party
obligated to provide such indemnification (the “Indemnifying Party”) of such Proceeding. The failure of the Indemnified
Party to so notify the Indemnifying Party shall not impair the Indemnified Party’s ability to obtain indemnification from
the Indemnifying Party (but only for costs, expenses and liabilities incurred after such notice) unless such failure adversely
affects the Indemnifying Party’s ability to adequately oppose or defend such Proceeding. Upon receipt of such notice from
the Indemnified Party, the Indemnifying Party shall be entitled to participate in such Proceeding at its own expense. Provided
no conflict of interest exists as specified in clause (ii) below and there are no other defenses available to Indemnified Party
as specified in clause (iv) below, the Indemnifying Party, to the extent that it shall so desire, shall be entitled to assume the
defense of the Proceeding with counsel reasonably satisfactory to the Indemnified Party, in which case all attorney’s fees
and expenses shall be borne by the Indemnifying Party (except as specified below) and the Indemnifying Party shall in good faith
defend the Indemnified Party. After receiving written notice from the Indemnifying Party of its election to assume the defense
of the Proceeding, the Indemnified Party shall have the right to employ separate counsel in any such Proceeding and to participate
in the defense thereof, provided that the fees and expenses of such counsel shall be borne entirely by the Indemnified Party unless
(i) the Indemnifying Party expressly agrees in writing to pay such fees and expenses, (ii) there is such a conflict of interest
between the Indemnifying Party and the Indemnified Party as would preclude, in compliance with the ethical rules in effect in the
jurisdiction in which the Proceeding was brought, one lawyer from representing both parties simultaneously, (iii) the Indemnifying
Party fails, within the earlier of (x) twenty (20) days following receipt of notice of the Proceeding from the Indemnified Party
or (y) seven (7) days prior to the date the first response or appearance is required to be made in such Proceeding, to assume the
defense of such Proceeding with counsel reasonably satisfactory to the Indemnified Party or (iv) there are legal defenses available
to the Indemnified Party that are different from or are in addition to those available to the Indemnifying Party. In each of cases
(i) through (iv), the fees and expenses of counsel shall be borne by the Indemnifying Party. No compromise or settlement of such
Proceeding may be effected by either party without the other party’s consent unless there is no finding or admission of any
violation of law and no effect on any other claims that may be made against such other party and the sole relief provided is monetary
damages that are paid in full by the party seeking the settlement. Neither party shall have any liability with respect to any compromise
or settlement effected without its consent, which shall not be unreasonably withheld. The Indemnifying Party shall have no obligation
to indemnify and hold harmless the Indemnified Party from any loss, expense or liability incurred by the Indemnified Party as a
result of a default judgment entered against the Indemnified Party unless such judgment was entered after the Indemnifying Party
agreed, in writing, to assume the defense of such proceeding.

 

    7 

     

    

 

		11.	LIMITATION OF LIABILITY.

 

IN NO EVENT SHALL LICENSOR BE LIABLE FOR
ANY SPECIAL, INCIDENTAL, CONSEQUENTIAL, PUNITIVE, EXEMPLARY OR OTHER INDIRECT DAMAGES, HOWSOEVER CAUSED, WHETHER ARISING IN CONTRACT,
TORT OR OTHERWISE, EVEN IF IT HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

 

		12.	MISCELLANEOUS PROVISIONS.

 

		12.1.	Assignment. Licensee may not assign or otherwise transfer (whether by operation of law or
otherwise) any right or obligation under this Agreement without the prior written consent of Licensor. Such consent shall be deemed
given with respect to an assignment or transfer (whether by operation of law or otherwise) of the entire Agreement, including all
rights and obligations hereunder, to a successor in interest or assignee of substantially all of the assets of Licensee, provided
that Licensee has given prompt written notice thereof to Licensor. This Agreement is binding on, and inures to the benefit of,
the parties and their permitted successors and assigns. Any attempted assignment or other transfer of rights under this Agreement
in violation of this Article 12.1 will be void.

 

		12.2.	Injunctive Relief. Licensee agrees and acknowledges that money damages may not be an adequate
remedy for any breach by Licensee of the provisions of this Agreement and that the Licensor may, in its sole discretion, apply
to any court of law or equity of competent jurisdiction for temporary preliminary relief (specific performance and/or injunctive
relief), without posting a bond or other security, in order to enforce or prevent any violation of the provisions of this Agreement.

 

		12.3.	Governing Law. This Agreement will be governed by and construed under the laws of the State
of New York, without reference to any choice of law rules (except that questions affecting the construction and effect of any patent
will be determined by the law of the country in which the patent was granted).

 

		12.4.	Exclusive Jurisdiction and Venue; No Jury. Any action brought by either party that arises
out of or relates to this Agreement will be filed only in the state or federal courts located in New York County, New York. Each
party irrevocably submits to the jurisdiction of those courts. FURTHERMORE, EACH PARTY (I) WAIVES ANY OBJECTIONS THAT IT MAY HAVE
NOW OR IN THE FUTURE TO THE JURISDICTION OF THOSE COURTS, (II) WAIVES ANY CLAIM THAT IT MAY HAVE NOW OR IN THE FUTURE THAT LITIGATION
BROUGHT IN THOSE COURTS HAS BEEN BROUGHT IN AN INCONVENIENT FORUM AND (III) WAIVES ANY RIGHT TO A JURY TRIAL.

 

    8 

     

    

 

		12.5.	Entire Agreement. This Agreement sets forth the entire agreement of the parties as to its
subject matter and supersedes all prior agreements, negotiations, representations, and promises between them with respect to its
subject matter.

 

		12.6.	Unenforceable Provisions. If any provision of this Agreement
is held unenforceable by a court of competent jurisdiction, the other provisions will remain in full force and effect. If legally
permitted, the unenforceable provision will be replaced with an enforceable provision that as nearly as possible gives effect to
the parties’ intent.

 

		12.7.	Relationship Of The Parties. Each party is an independent
contractor of the other party. Nothing in this Agreement creates a partnership, joint venture or agency relationship between the
parties.

 

		12.8.	Notices. A notice under this Agreement is not sufficient unless
it is: (i) in writing; (ii) addressed using the contact information listed below for the party to which the notice is being given
(or using updated contact information which that party has specified by written notice in accordance with this Article); and (iii)
sent by hand delivery, facsimile transmission, registered or certified mail (return receipt requested), or reputable express delivery
service with tracking capabilities (such as Federal Express).

 

	 	Contact Information for Licensor:	Contact Information for Licensee:
	 	 	 
	 	The Bank of New York Mellon	GRANITESHARES LLC
	 	2 Hanson Place	30 Vesey Street, 9th Floor
	 	9th Floor	New York, New York 10007
	 	Brooklyn,NY 11217	Attention: President
	 	Attn: ETF Services	 

 

		12.9.	Amendments. This Agreement may not be amended unless the amendment
is in writing and signed by authorized representatives of both parties.

 

		12.10.	Waivers. A waiver of rights under this Agreement will not
be effective unless it is in writing and signed by an authorized representative of the party that is waiving the rights.

 

    9 

     

    

 

		12.11.	Counterparts and Execution. This Agreement may be executed
simultaneously in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the
same instrument. Any manual signature upon this Agreement that is faxed, scanned or photocopied, and any electronic signature valid
under the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. §7001, et. seq. shall for all purposes
have the same validity, legal effect and admissibility in evidence as an original signature and the parties hereby waive any objection
to the contrary.

 

(signature page follows)

 

    10 

     

    

 

IN
WITNESS WHEREOF, the parties have caused this Agreement to be executed by their duly authorized representatives.

 

THE BANK OF NEW YORK MELLON

 

	By:  	/s/ Thomas Porrazzo	 

 Name:  Thomas Porrazzo 

 Title:  Managing Director 

 

GRANITESHARES LLC

 

	By:  	/s/ William Rhind	 

 Name:  William Rhind 

 Title:  Managing Member 

 

    11

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