SEC Filing Document

Company: T. Rowe Price Active Crypto ETF
Ticker: 
CIK: 2089855
Filing Type: S-1/A
Document Type: S-1/A
Date Filed: 2026-05-15
Accession Number: 0001999371-26-010860
Exchange: 
SIC Code: 6221
SIC Description: Commodity Contracts Brokers & Dealers
URL: https://www.sec.gov/Archives/edgar/data/2089855/000199937126010860/tknz-s1a_051526.htm

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market value of the Fund’s portfolio holdings. The market prices of Shares will generally fluctuate in accordance with changes in the Fund’s NAV and supply and demand of Shares on the Exchange. It cannot be predicted whether the Fund’s Shares will trade below at or above their NAV. Investors who buy the Fund’s Shares at a market price that is a premium to NAV face a risk of loss if the market price of their Shares subsequently converges with NAV per Share. Investors buying or selling Fund Shares in the secondary market will pay brokerage commissions or other charges imposed by brokers as determined by that broker. Brokerage commissions are often a fixed amount and may be a significant proportional cost for investors seeking to buy or sell relatively small amounts of Shares. The Exchange may halt trading in the Shares, which would adversely impact the ability to sell Shares

Trading in Shares of the Fund may
be halted by the Exchange due to market conditions or, in light of the Exchange rules and procedures, for reasons that, in view of the
Exchange, make trading in Shares inadvisable. These may include: (1) the extent to which trading is not occurring in the Eligible Assets
underlying the Shares; or (2) whether other unusual conditions or circumstances detrimental to the maintenance of a fair and orderly market
are present. In addition, market conditions that would result in trading halts may also include extraordinary market volatility that trigger
rules requiring trading to be halted for a specified period based on a specified market decline. There can be no assurance that the requirements
necessary to maintain the listing of the Shares will continue to be met or will remain unchanged. The Fund will be terminated if its Shares
are delisted.

An investment in the Fund may
be adversely affected by competition from other investment vehicles focused on crypto assets

The Fund will compete with direct
investments in crypto assets, investment vehicles that include securities backed by or linked to crypto assets, and other investment vehicles
that focus on crypto assets. Market and financial conditions, and other conditions beyond the Fund’s control, such as the timing
of reaching the market and the Fund’s fee structure relative to other investment vehicles, may make it more attractive to invest
in other vehicles. To the extent that the Fund has relatively higher fees than other such investment vehicles, this could impede growth
of the Fund, possibly result in a lower NAV per Share. The competition from other investment vehicles focused on crypto assets could have
a detrimental effect on the scale and sustainability of the Fund.

Anonymity and illicit financing
risk of crypto assets could harm the Fund

Although transaction details of peer-to-peer
transactions are recorded on the crypto assets blockchain, a buyer or seller of crypto assets on a peer-to-peer basis directly on the
network may never know to whom the public key belongs or the true identity of the party with whom it is transacting. Public key addresses
are randomized sequences of alphanumeric characters that, standing alone, do not provide sufficient information to identify users. In
addition, certain technologies may obscure the origin or chain of custody of crypto assets. The opaque nature of the market poses asset
verification challenges for market participants, regulators and auditors and gives rise to an increased risk of manipulation and fraud,
including the potential for Ponzi schemes, bucket shops and pump and dump schemes.

Certain crypto assets have in the
past been used to facilitate illicit activities. If a crypto asset was used to facilitate illicit activities, businesses that facilitate
transactions in such crypto assets could be at increased risk of potential criminal or civil liability or lawsuits, or of having banking
or other services cut off, and such crypto asset could be removed from crypto platforms. Any of the aforementioned occurrences could adversely
affect the price of the relevant crypto asset, the attractiveness of the respective blockchain network and an investment in the Shares.
If the Fund, the Sponsor were to transact with a sanctioned entity, the Fund or the Sponsor or its affiliates would be at risk of potential
criminal or civil lawsuits or liability.

The Fund takes measures with the objective
of reducing illicit financing risks in connection with the Fund’s activities. However, illicit financing risks are present in the
crypto asset markets. There can be no assurance that the measures employed by the Fund will prove successful in reducing illicit financing
risks, and the Fund is subject to the complex illicit financing risks and vulnerabilities present in the crypto asset markets. If such
risks arise, the Fund or the Sponsor or its affiliates could face civil or criminal liability, fines, penalties, or other punishments,
be subject to investigation, have their assets frozen, lose access to banking services or services provided by other service providers,
or suffer disruptions to their operations, any of which could negatively affect the Fund’s ability to operate or cause losses in
value of the Shares.

The Fund, the Sponsor and its affiliates
have adopted and implemented policies and procedures that are designed to comply with applicable anti-money laundering laws and sanctions
laws and regulations, including applicable know your customer (KYC) laws and regulations. The Sponsor and its affiliates and the Fund
will only interact with known third-party service providers with respect to whom the Sponsor or its affiliates have engaged in a due diligence
process to ensure a thorough KYC process, such as the Authorized Participants, Crypto Trading Counterparty, and Crypto Custodian. Each
service provider must undergo onboarding prior to placing creation or redemption orders with respect to the Fund. As a result, the Sponsor
and the Fund have instituted procedures designed to ensure that a situation would not arise where the Fund would engage in transactions
with a counterparty whose identity the Sponsor and the Fund did not know.

Furthermore, Authorized Participants,
as broker-dealers, and the Crypto Custodian, as an entity licensed to conduct virtual currency business activity, respectively, are “financial
institutions” subject to the U.S. Bank Secrecy Act, as amended (BSA), and U.S. economic sanctions laws. The Fund will only accept
creation and redemption requests from Authorized Participants who have represented to the Fund that they have implemented compliance programs
that are designed to ensure compliance with applicable sanctions and anti-money laundering laws. The Custodians have adopted and implemented
anti-money laundering and sanctions compliance programs, which provides additional protections to ensure that the Sponsor and the Fund
do not transact with a sanctioned party.

However, there is no guarantee that
such procedures will always prove to be effective or that the Fund’s service providers will always perform their obligations. If
the Authorized Participants or Crypto Trading Counterparties have inadequate policies, procedures and controls for complying with applicable
anti-money laundering and applicable sanctions laws or the Fund’s procedures or diligence prove to be ineffective, violations of
such laws could result, which could result in regulatory liability for the Fund, the Sponsor, or its affiliates under such laws, including
governmental fines, penalties, and other punishments, as well as potential liability to or cessation of services by the Fund’s service
providers. Any of the foregoing could result in losses to the Shareholders or negatively affect the Fund’s ability to operate.

The market for crypto-based ETFs
may reach saturation

The market for crypto-based ETFs like
the Fund may reach a point where there is little or no additional investor demand. If this happens, there can be no assurance that the
Fund will grow to or maintain a viable size. Due to the Fund’s small asset base, certain of the Fund’s expenses and its portfolio
transaction costs may be higher than those of a Fund with a larger asset base. To the extent that the Fund does not grow to or maintain
a viable size, it may be liquidated, and the expenses, timing and tax consequences of such liquidation may not be favorable to some Shareholders.

To the extent that the Fund engages
in staking activities, the Fund will be exposed to increased liquidity risk

Staking typically requires that the
Fund lock up the staked Eligible Assets for a specified period. During the staking period and the subsequent unbonding period required
to unstake the Eligible Assets, the Fund typically cannot transfer such assets. The unbonding period varies by asset and may exceed historical
averages based on network activity. For a detailed discussion of the Fund’s staking activities and procedures, see ‘Business of the Fund—Staking.’