SEC Filing Document

Company: T. Rowe Price Active Crypto ETF
Ticker: 
CIK: 2089855
Filing Type: S-1
Document Type: S-1
Date Filed: 2025-10-22
Accession Number: 0001999371-25-015832
Exchange: 
SIC Code: 6221
SIC Description: Commodity Contracts Brokers & Dealers
URL: https://www.sec.gov/Archives/edgar/data/2089855/000199937125015832/activecrypto-s1_102225.htm

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of a crypto asset and arise with or without any action of the Fund or of the Sponsor. With respect to any such fork, airdrop, or similar event, or other Incidental Rights and/or IR Virtual Currency, the Sponsor shall, in its sole discretion, decide what action the Fund shall take. Such actions that the Fund may take include to irrevocably abandon, claim, or sell such crypto asset, Incidental Right, or IR Virtual Currency, so long as such action is consistent with the Fund’s policies and custodial policies, does not adversely affect the status of the Fund as a partnership for U.S. federal income tax purposes, or is not otherwise prohibited by law. In the event of a fork or airdrop, the Sponsor will determine which network it believes is the appropriate network for the new crypto asset, and whether the new crypto asset qualifies for investment for the Fund’s purposes.

Suspension of Issuance, Transfers, and Redemptions	The Distributor may, and upon the direction of the Sponsor shall, suspend the acceptance of purchase orders or the delivery or registration of transfers of Shares generally, or may, and upon the direction of the Sponsor shall, refuse a particular purchase order, delivery or registration of shares (i) during any period when the transfer books of the Transfer Agent are closed or (ii) at any time, if the Sponsor thinks it advisable for any reason. The Distributor may, and upon the direction of the Sponsor shall, suspend the right to surrender Shares or postpone the delivery date of a crypto asset or other Fund property generally or with respect to a particular redemption order (i) during any period in which regular trading on the Exchange is suspended or restricted, or the Exchange is closed (other than scheduled holiday or weekend closings), or (ii) during a period when the Sponsor determines that delivery, disposal, or evaluation of a crypto asset is not reasonably practicable. The Distributor shall reject any purchase order or redemption order that is not in proper form. If the Sponsor and/or the Fund suspend redemptions, Shareholders will be notified in a prospectus supplement, in its periodic Exchange Act reports and/or on the Fund’s website. See “Creation and Redemption” section.

Limitation on Obligations and Liability	The Sponsor has no liability to the Fund, the Trustee or any shareholder
for any action taken or for refraining from the taking of any action in good faith pursuant to the Trust Agreement, or for errors in judgment
or for depreciation or loss incurred under the Trust Agreement; provided, however, that the Sponsor is not protected against any liability
to which it would otherwise be subject by reason of its own gross negligence, bad faith, or willful misconduct.

The Trustee is not liable for (a) the acts or omissions of the
Sponsor or (b) supervising or monitoring the performance and the duties and obligations of the Sponsor or the Fund under the Trust Agreement,
except as otherwise provided in the Trust Agreement. The Trustee is not liable under any circumstances, except for a breach of its obligations
pursuant to the Trust Agreement or its own willful misconduct, bad faith or gross negligence. See “Description of Key Service Providers”
section.

Authorized Participants	Creation Units may be created or redeemed only by Authorized Participants. Each Authorized Participant must be a registered broker-dealer, a participant in the Depository Trust Company (the “DTC”), and have entered into an agreement with the Distributor and Administrator (the “Authorized Participant Agreement”). The Authorized Participant Agreement provides the procedures for the creation and redemption of Creation Units and for the delivery of cash in connection with such creations or redemptions. See “Creations and Redemptions” for more details.

Clearance and settlement	The Shares will be evidenced by a global certificate that the Fund issues to DTC. The Shares are issued in book-entry form only. Transactions in Shares clear through the facilities of DTC. Investors may hold their Shares through DTC, if they are participants in DTC, or indirectly through entities that are participants in DTC.

USE OF PROCEEDS

Proceeds received by the Fund from
the issuance and sale of creation units consist of cash deposits. Such cash deposits are held by the Cash Custodian on behalf of the Fund
until (i) transferred in connection with the purchase of the Eligible Assets, (ii) delivered to Authorized Participants in connection
with a redemption of creation units or (ii) transferred to pay the fee due to the Sponsor and Fund expenses or liabilities not assumed
by the Sponsor.

BUSINESS OF THE FUND

The activities of the Fund primarily
consist of (1) issuing creation units in exchange for the cash deposited with the Cash Custodian as consideration; (2) selling or delivering
crypto assets for cash as necessary to cover the Sponsor’s Fee, Fund expenses not assumed by the Sponsor, and other liabilities;
and (3) buying and selling crypto assets through the trading counterparties, as applicable, in exchange for creation units in connection
with creations and redemptions.

The Fund is actively managed. It engages
in activities designed to obtain a profit from, or to ameliorate losses caused by, changes in the price of the Eligible Assets.

Fund Objective

The Fund’s investment objective
is to seek to outperform the Index over a long term, i.e. typically over a period of a year or longer. The Fund intends to achieve its
objective by primarily investing in a diversified basket of commodity crypto assets, under normal market conditions. The Shares are designed
to provide investors with a means of obtaining price exposure to multiple crypto assets, as opposed to direct acquisition, holding, and
trading of crypto assets on a peer-to-peer or other basis or via a crypto asset platform. The Shares are also intended to reduce the complexities
and operational burdens associated with direct investment in these crypto assets, while seeking to generate returns that are higher than
those of the Index and that reflect the investment exposure to the assets held by the Fund, less the Fund’s expenses and liabilities.
The Sponsor interprets the term “crypto asset” to mean an asset that (1) is generated, issued, and/or transferred using
a blockchain or similar distributed ledger technology network, including, but not limited to, assets known as “tokens,” “digital
assets,” “cryptocurrencies,” “virtual currencies,” and “coins,” and (2) relies on cryptographic
protocols.

The Fund’s Investment Strategies

The Sponsor will employ an active investment
strategy intended to outperform the Index by primarily investing in a diversified basket of commodity crypto assets, under normal market
conditions. This strategy also offers investors an alternative method of accessing the crypto asset markets through an actively-managed
ETP, the Shares of which trade in the public securities market. Consistent with its investment objective, the Fund will not use its investments
to enhance leverage or seek performance that is the multiple or inverse multiple of the Index. The Fund will invest in crypto assets through
a fundamentally informed model-based process and will take an active view on specific crypto assets based on criteria such as fundamentals,
valuation, and momentum, within a disciplined risk-based framework.

The Index

As the Fund seeks to outperform the
Index, the Fund compares its performance against the Index. The Index is part of the FTSE Digital Asset Index Series and leverages the
FTSE DAR Reference Price. The Index’s underlying pricing employs a methodology designed to capture data from vetted assets and exchanges
to meet the requirements of EU Benchmarks. The Index comprises the top ten crypto assets based on the square root of the market capitalization
of such crypto assets that (1) are eligible under the Exchange’s generic listing standards applicable to passively-managed crypto
asset ETPs; or (2) constitute, or are eligible to constitute, the underlying asset for one or more ETPs or exchange-traded funds
registered with the SEC. The Fund may use a different Index at any time; notification of a change will be made via a prospectus supplement,
in the Fund’s periodic Exchange Act reports, and/or on the Fund’s website.

Asset Eligibility

The only crypto assets
that the Fund may hold are spot investments that meet the defined eligibility criteria (Eligible Assets).
Specifically, the eligibility criteria require that the crypto asset (1) be a commodity and (2) either:

•	trades on a market that is an Intermarket Surveillance Group (ISG) member from which the exchange may
obtain information about trading in such crypto asset from the ISG member, at all times such crypto asset is in the Fund’s portfolio;

•	underlies a futures contract that has been made available to trade on a designated contract market regulated
by the CFTC for at least six months, provided that the Exchange has a comprehensive surveillance sharing agreement, at all times such
crypto asset is in the Fund’s portfolio; or

•	when the crypto asset is acquired, the economic exposure to such crypto asset commodity represents at
least 40% of the NAV of an exchange-traded fund that lists and trades on a national securities exchange.