SEC Filing Document

Company: Canary Staked TRX ETF
Ticker: 
CIK: 2064768
Filing Type: S-1
Document Type: S-1
Date Filed: 2025-04-18
Accession Number: 0001999371-25-004423
Exchange: 
SIC Code: 6221
SIC Description: Commodity Contracts Brokers & Dealers
URL: https://www.sec.gov/Archives/edgar/data/2064768/000199937125004423/canary-s1_041825.htm

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act as an Authorized Participant to purchase (or redeem) Baskets in the future. PLAN OF DISTRIBUTION Buying and Selling Shares Most investors buy and sell Shares of the Trust in secondary market transactions through brokers. Shares trade on the Exchange under the ticker symbol “____.” Shares are bought and sold throughout the trading day like other publicly traded securities. When buying or selling Shares through a broker, most investors incur customary brokerage commissions and charges. Shareholders are encouraged to review the terms of their brokerage account for details on applicable charges. Authorized Participants The offering of the Trust’s Shares is a best efforts offering. In addition to, and independent of the initial purchase of the Seed Baskets (described above), the Trust continuously offers Baskets consisting of ________ Shares to Authorized Participants. Authorized Participants pay a transaction fee for each order they place to create or redeem one or more Baskets.

The
Authorized Participants will deliver only cash to create Shares and will receive only cash when redeeming Shares. Further, Authorized
Participants will not directly or indirectly purchase, hold, deliver, or receive TRX as part of the creation or redemption process or
otherwise direct the Trust or a third party with respect to purchasing, holding, delivering, or receiving TRX as part of the creation
or redemption process.

The
offering of Baskets is being made in compliance with Rule 2310 of the FINRA Rules. Accordingly, Authorized Participants will not make
any sales to any account over which they have discretionary authority without the prior written approval of a purchaser of Shares.

The
per share price of Shares offered in Baskets on any subsequent day will be the total NAV of the Trust calculated shortly after the close
of the Exchange on that day divided by the number of issued and outstanding Shares of the Trust. An Authorized Participant is not required
to sell any specific number or dollar amount of Shares.

executing an Authorized Participant Agreement, an Authorized Participant becomes part of the group of parties eligible to purchase Baskets
from, and put Baskets for redemption to, the Trust. An Authorized Participant is under no obligation to create or redeem baskets or to
offer to the public Shares of any Baskets it does create.

Because
new Shares can be created and issued on an ongoing basis, at any point during the life of the Trust, a “distribution,”
as such term is used in the 1933 Act, will be occurring. Authorized Participants, other broker-dealers and other persons are
cautioned that some of their activities may result in their being deemed participants in a distribution in a manner that would
render them statutory underwriters and subject them to the prospectus-delivery and liability provisions of the 1933 Act. For
example, the initial Authorized Participant will be a statutory underwriter with respect to the initial purchase of Baskets and the
Seed Capital Investor will be a statutory underwriter with respect to the Seed Basket. Any purchaser who purchases Shares with a
view towards distribution of such Shares may be deemed to be a statutory underwriter. In addition, an Authorized Participant, other
broker-dealer firm or its client will be deemed a statutory underwriter if it purchases a basket from the Trust, breaks the basket
down into the constituent Shares and sells the Shares to its customers; or if it chooses to couple the creation of a supply of new
Shares with an active selling effort involving solicitation of secondary market demand for the Shares. In contrast, Authorized
Participants may engage in secondary market or other transactions in Shares that would not be deemed “underwriting.” For
example, an Authorized Participant may act in the capacity of a broker or dealer with respect to Shares that were previously
distributed by other Authorized Participants. A determination of whether a particular market participant is an underwriter must take
into account all the facts and circumstances pertaining to the activities of the broker-dealer or its client in the particular case,
and the examples mentioned above should not be considered a complete description of all the activities that would lead to
designation as an underwriter and subject them to the prospectus-delivery and liability provisions of the 1933 Act.

Dealers
who are neither Authorized Participants nor “underwriters” but are nonetheless participating in a distribution (as contrasted
to ordinary secondary trading transactions), and thus dealing with Shares that are part of an “unsold allotment” within the
meaning of Section 4(a)(3)(C) of the 1933 Act, would be unable to take advantage of the prospectus-delivery exemption provided by Section
4(a)(3) of the 1933 Act.

While
the Authorized Participants may be indemnified by the Sponsor, they will not be entitled to receive a discount or commission from the
Trust or The Sponsor for their purchases of Baskets.

and ________have each executed an Authorized Participant Agreement.

Selling Shareholders

The Sponsor or its affiliates,
or a fund or unit investment trust for which the Sponsor or an affiliate of the Sponsor serves as sponsor or investment advisor, may purchase
Shares of the Trust through a broker-dealer or other investors, including in secondary market transactions, and because the Sponsor and
its affiliates may be deemed affiliates of the Trust, the Shares are being registered to permit the resale of these Shares by affiliates
of the Trust from time to time after any such purchase. The Trust will not receive any of the proceeds from the resale of such Shares.

Selling shareholders (each,
a “Selling Shareholder”) may sell Shares owned by them directly or through broker-dealers, in accordance with applicable law,
on any national securities exchange on which the Shares may be listed or quoted at the time of sale, through trading systems, in the OTC
market or in transactions other than on these exchanges or systems at fixed prices, at prevailing market prices at the time of the sale,
at varying prices determined at the time of sale, or at negotiated prices. These sales may be effected through brokerage transactions,
privately negotiated trades, block sales, entry into options or other derivatives transactions or through any other means authorized by
applicable law. Selling Shareholders may redeem Shares held in Basket size through an Authorized Participant. See “Conflicts
of Interest.”

CREATION AND REDEMPTION
OF SHARES

The
Trust creates and redeems Shares from time to time, but only in one or more Baskets. Baskets are only made in exchange for delivery to
the Trust or the distribution by the Trust of the amount of cash represented by the Baskets being created or redeemed (the “Basket
Deposit”). The amount of cash required in a Basket Deposit (the “Basket Cash Deposit”) is based on the value of the
quantity of TRX and cash attributable to each Share of the Trust (net of accrued but unpaid Sponsor Fees and any accrued but unpaid Extraordinary
Expenses) being created or redeemed determined as of 4:00 p.m. EST on the day the order to create or redeem Baskets is properly received.

Authorized
Participants are the only persons that may place orders to create and redeem Baskets. Authorized Participants must be (1) registered
broker-dealers or other securities market participants, such as banks and other financial institutions, that are not required to
register as broker-dealers to engage in securities transactions described below and (2) DTC Participants. To become an Authorized
Participant, a person must enter into an Authorized Participant Agreement with the Distributor. As of the Trust’s commencement
of operations, Baskets may only be purchased or redeemed by Authorized Participants for cash.

connection with a Cash Creation Order (as defined below) or Cash Redemption Order (as defined below), an Authorized Participant is responsible
for any operational processing and brokerage costs, transfers fees, network fees and stamp taxes (the “Transaction Fee”).
The Transaction Fee may be reduced, increased or otherwise changed by the Sponsor. Authorized Participants who make deposits with the
Trust in exchange for Baskets receive no fees, commissions or other form of compensation or inducement of any kind from either the Trust
or the Sponsor, and no such person will have any obligation or responsibility to the Sponsor or the Trust to effect any sale or resale
of Shares.