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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Fee. For a discussion of how the Trust determines the value of TRX, see “Calculation of NAV” above. The Basket Cash Deposit so determined is communicated via electronic mail message to all Authorized Participants. the extent the price at which the Trust executes a TRX purchase in connection with a Cash Creation exceeds the amount described in the paragraph above, the Authorized Participant that placed such order will be responsible for any such difference in price. The Sponsor expects that its TRX trading counterparties will be able to provide pricing based on the Pricing Benchmark price at 4:00 p.m. EST, which would minimize or eliminate any such shortfall. However, there can be no guarantee that the price at which the Trust executes TRX trades will be the Pricing Benchmark price at 4:00 p.m. EST, and Authorized Participants bear the risk of any such differences in price. Delivery of Required Deposits

An Authorized
Participant who places a purchase order must follow the procedures outlined in the “Creation Procedures” section of this Prospectus.
Upon receipt of the deposit amount by the Cash Custodian, the Transfer Agent will direct DTC to credit the number of Shares ordered to
the Authorized Participant’s DTC account on the following business day or such later time as may be agreed upon by the Authorized
Participant and the Sponsor, following the Purchase Order Date. The Sponsor has the authority to set or modify the cut-off time for purchase
orders in order for the creation of Baskets to be effected based on the Pricing Benchmark price at 4:00 p.m. EST as next determined on
such date after receipt of the order in proper form. For example, the Sponsor may modify the cut-off time in the event of an early market
close, perceived capacity constraints from the Trust’s TRX trading counterparties, or highly volatile markets. Cut-off times are
communicated periodically to Authorized Participants. In circumstances where purchase orders are due before 4:00 p.m. EST, Authorized
Participants will not know the total Basket Deposit at the time they submit a purchase order for the Basket. The Trust’s NAV and
the price of a Basket Deposit could rise or fall substantially between the time a purchase order is submitted and the time the amount
of the purchase price in respect thereof is determined, and the risk of such price movements will be borne solely by the Authorized Participant.

Rejection of Purchase Orders

The Sponsor
or its designee has the absolute right, but does not have any obligation, to reject any purchase order or Basket Deposit if the Sponsor
determines that:

●	the purchase order is not in proper form;

●	the Basket Deposit delivered is not as specified by the Trust
through the Sponsor and/or Transfer Agent, and the Sponsor has not consented to acceptance of a deposit that varies from the designated
portfolio;

●	the acceptance of the Basket Deposit would have certain adverse
tax consequences to the Trust;

●	the acceptance of the Basket Deposit would, in the opinion of
counsel, be unlawful;

●	the acceptance of the Basket Deposit would otherwise, in the discretion
of the Trust or the Sponsor, have an adverse effect on the Trust or the rights of beneficial owners of the Trust; or

●	there exist circumstances outside the control of the Trust, the
Transfer Agent, or the Sponsor that make it impossible to process purchase orders for all practical purposes.

The
Sponsor may in its sole discretion limit the number of Shares created pursuant to purchase orders on any specified day without notice
to the Authorized Participants and may direct the Distributor to reject any purchase orders in excess of such capped amount. The Sponsor
may choose to limit the number of Shares created pursuant to purchase orders when it deems so doing to be in the best interest of Shareholders.
It may choose to do so when it believes the market is too volatile to execute a TRX transaction,
when it believes the price of TRX is being inconsistently,
irregularly, or discontinuously published from TRX trading
venues and other data sources, or when it believes other similar circumstances may create a scenario in which accepting purchase orders
would not be in the best interests of the Shareholders. The Sponsor does not believe that the Trust’s ability to arrive at such
a determination will have a significant impact on the Shares in the secondary market because it believes that the ability to create Shares
would be reinstated shortly after such determination is made, and any entity desiring to create Shares would be able to do so once the
ability to create Shares is reinstated. However, it is possible that such a determination would cause the Shares to trade at premiums
or discounts relative to the Trust’s NAV on the secondary market if arbitrageurs believe that there is risk that the creation and
redemption process is not available, as this process is a component of keeping the price of the Shares on the secondary market closely
aligned to the Trust’s NAV.

Neither the
Sponsor, nor the Transfer Agent, nor the Trust will be liable for the rejection of any purchase order or Basket Deposit.

Redemption Procedures

The
procedures by which an Authorized Participant can redeem one or more Baskets mirror the procedures for the creation of Baskets. On any
business day, an Authorized Participant may place an order with the Transfer Agent to redeem one or more Baskets. Redemption orders must
be placed by the close of Regular Trading Hours on the Exchange or an earlier time as determined and communicated by the Sponsor and its
agent. A redemption order will be effective on the date it is received by the Transfer Agent (“Redemption Order Date”).

The
manner by which redemptions are made is dictated by the terms of the Authorized Participant Agreement. Redemption orders are denominated
and settled in cash (“Cash Redemption Order”). By placing a Cash Redemption Order, an Authorized Participant agrees to facilitate
the deposit of Shares with the Transfer Agent. If an Authorized Participant fails to consummate the foregoing, the order will be cancelled
or delayed until the required Shares have been received. An Authorized Participant may not withdraw a redemption order without the prior
consent of the Sponsor in its discretion.

the case of a Cash Redemption Order, the redemption distribution from the Trust consists of a transfer to the Authorized Participant
of an amount of cash that is in the same proportion to the total assets of the Trust, net of accrued expenses and other liabilities,
on the Redemption Order Date, as the number of Shares to be redeemed under the purchase order is in proportion to the total number
of Shares outstanding on the Redemption Order Date. The redemption distribution due from the Trust will be delivered once the
Transfer Agent notifies the Cash Custodian, the Distributor and the Sponsor that the Authorized Participant has delivered the Shares
represented by the Baskets to be redeemed to the Transfer Agent’s DTC account. If the Transfer Agent’s DTC account has
not been credited with all of the Shares of the Baskets to be redeemed, the redemption distribution will be cancelled or delayed
until such time as the Transfer Agent confirms receipt of all such Shares.

placing a redemption order, an Authorized Participant agrees to deliver the Baskets to be redeemed through DTC’s book-entry system
to the Trust by the end of the following business day or such later time as may be agreed upon by the Authorized Participant and the Sponsor
following the Redemption Order Date. An Authorized Participant may not withdraw a redemption order without the prior consent of the Sponsor
in its discretion.

Determination of Redemption
Distribution

The
redemption distribution from the Trust will consist of a transfer to the redeeming Authorized Participant of an amount of cash that is
determined in the same manner as the determination of Basket Deposits discussed above.

Delivery of Redemption Distribution

Once
the Transfer Agent notifies the TRX Custodian, the Cash Custodian, the Distributor and the Sponsor that the Shares have been received
in the Transfer Agent’s DTC account, the Administrator instructs the TRX Custodian to transfer cash amount from the Trust’s
Cash Custodian account to the Authorized Participant. For a Cash Redemption Order, the redemption distribution due from the Trust will
be sent by the Cash Custodian to the Authorized Participant on the following business day or such later time as may be agreed upon by
the Authorized Participant and the Sponsor, following the Redemption Order Date if, by 4:00 p.m. EST, on such business day, the Transfer
Agent’s DTC account has been credited with the Baskets to be redeemed. If the Transfer Agent’s DTC account has not been credited
with all of the Baskets to be redeemed by such time, the redemption distribution will be cancelled or delayed until such time as the Transfer
Agent confirms receipt of all such Shares.

Rejection of Redemption Orders