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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future regulatory change is impossible to predict, but such change could be substantial and adverse to the Fund and the value of the Shares. The Fund’s Operating Risks The Fund is new and has no operational history Because the Fund is new, it has a more limited operating history, fewer shareholders, and less assets than other investment vehicles that have been in existence for longer periods. It may be more difficult to evaluate the investment program and Sponsor of a Fund with a limited performance track record. This limited history poses several potential risks to the effective management and operation of the Fund. Crypto assets, such as bitcoin, are known for their high volatility, unique technical, legal and regulatory challenges, and rapidly evolving market dynamics. The Sponsor’s limited experience may not fully equip it to navigate these complexities effectively and it may not be successful in implementing its investment objective.

Due to the Fund’s concentrated
shareholder base, large shareholder purchases or redemptions could require the Fund to buy or sell holdings at unfavorable times or maintain
greater cash reserves than desired, any of which could have tax implications for the Fund and its shareholders, make it difficult to invest
fully in accordance with the Fund’s investment program, and limit the Sponsor’s ability to successfully implement the Fund’s
investment strategies. There is no assurance that the Fund will be able to sufficiently increase its assets and shareholders in the future,
which could lead to the Fund ultimately being liquidated and ceasing its operations. In such an event, shareholders may be required to
redeem or transfer their investment in the Fund at an inopportune time. The timing and tax consequences of such liquidation may not be
favorable to some Shareholders.

Due to the Fund’s small asset
base, the Fund’s portfolio transaction costs and any costs that are not paid by the Sponsor pursuant to the Management Fee, may
be relatively higher than those of a Fund with a larger asset base.

The Fund may change its investment
objective, Index or investment strategies at any time without Shareholder approval or advance notice

Consistent with
applicable provisions of the Trust Agreement and Delaware law, the Fund has broad authority to make changes to its operations. The
Fund may change its investment objective, including the Index, or investment strategies and Shareholders of the Fund will not have
any rights with respect to these changes. Changes are subject to applicable regulatory requirements, including, but not limited to,
any requirement to amend applicable listing rules of the Exchange. The reasons for and circumstances that may trigger any such
changes may vary widely and cannot be predicted. Shareholders may experience losses on their investments in the Fund as a result of
such changes.

The crypto assets that the Fund
may invest in can change from time to time as additional Eligible Assets are added

The Fund’s investment strategy
permits it to invest in a range of crypto assets that have been designated as Eligible Assets under its investment guidelines. The list
of Eligible Assets is not fixed, and may expand or change over time as new crypto assets are evaluated and added. As a result, the Fund’s
portfolio composition may change materially and potentially rapidly, subjecting investors to risks associated with newer or less-established
crypto assets, each of which may have distinct technical, regulatory, security, and market risks that differ from those of the Fund’s
initial holdings.

The addition of new Eligible Assets
may expose the Fund to increased volatility, illiquidity, or operational uncertainties specific to newly included Eligible Assets. Furthermore,
investors will not have an opportunity to vote on or approve the inclusion of additional Eligible Assets, and there is no guarantee that
any added Eligible Asset will perform as expected or that the Fund’s risk profile will remain consistent with past periods. This
evolving investment universe may impact the Fund’s investment performance and risk characteristics in unpredictable ways.

Prospective investors should consider
that the Fund’s exposure may shift both in terms of the particular crypto assets held and the associated risks, which may change
as additional Eligible Assets are included in the Fund’s investment strategy.

The Fund is not a registered investment
company, so Shareholders do not have the protections of the Investment Company Act of 1940

The Fund is not an investment company
subject to the Investment Company Act of 1940. Accordingly, the Fund’s Shareholders do not have the protections expressly provided
by that statute, including: provisions preventing Fund insiders from managing the Fund to their benefit and to the detriment of Fund Shareholders;
provisions preventing the Fund from issuing securities having inequitable or discriminatory provisions; provisions preventing Fund management
by irresponsible persons; provisions preventing the use of unsound or misleading methods of computing Fund earnings and asset value; provisions
prohibiting suspension of redemptions (except under limited circumstances); provisions limiting Fund leverage; provisions imposing a fiduciary
duty on the managers with respect to receipt of compensation for services; and provisions preventing changes in the Fund’s character
without the consent of Fund Shareholders.

In addition, the Fund will not hold
or trade in commodity interests regulated by the Commodity Exchange Act of 1936 (the “CEA”), as administered by the CFTC.
Furthermore, the Sponsor believes that the Fund is not a commodity pool for purposes of the CEA, and that neither the Sponsor nor the
Trustee is subject to regulation by the CFTC as a commodity pool operator or a commodity trading advisor in connection with the operation
of the Fund. Consequently, Shareholders will not have the regulatory protections provided to investors in CEA-regulated instruments or
commodity pools.

There are technical risks inherent
in the trading system the Sponsor intends to employ

The Sponsor’s order management
system is a broadly used and well-known computer-based system that utilizes external data feeds of market information. The Sponsor can
experience business interruptions if its order management system or data feeds are disrupted or corrupted. For further discussion of technical
and business continuity risks to the Fund’s and the Sponsor’s systems, see the discussion under the caption “Event Risk”
below.

Several factors may affect the Fund’s
ability to achieve its investment objective on a consistent basis

There can be no assurance that the
Fund will achieve its investment objective. Prospective investors should read this entire prospectus and consult with their own advisers
before subscribing for Shares. Factors that may affect the Fund’s ability to meet its investment objective include: (1) Fund’s
ability to purchase and sell crypto assets in an efficient manner to effectuate creation and redemption orders; (2) transaction fees associated
with the Eligible Assets Networks; (3) the crypto asset market becoming illiquid or disrupted; (4) the need to conform the Fund’s
portfolio holdings to comply with investment restrictions or policies or regulatory or tax law requirements; (5) early or unanticipated
closings of the markets on which the Eligible Assets trade, resulting in the inability of Fund to execute intended portfolio transactions;
and (6) accounting standards.

There is no assurance of the Sponsor’s
continued services, and discontinuance may be detrimental to the Fund

There is no assurance that the Sponsor
will be willing or able to continue to service the Fund for any length of time. If the Sponsor discontinues its activities on behalf of
the Fund or other investment Fund complex, the Fund may be adversely affected.

The Sponsor may manage a large number
of assets, and this could affect the Fund’s ability to trade profitably

Increases in assets under management
may affect trading decisions. While the Fund’s assets are currently at manageable levels, the Sponsor does not intend to limit the
amount of Fund assets. The more assets the Sponsor manages, the more difficult it may be for it to trade profitably because of the difficulty
of trading larger positions without adversely affecting prices and performance and of managing risk associated with larger positions.

The Sponsor relies heavily on key
personnel. The departure of any such key personnel could negatively impact the Fund’s operations and adversely impact an investment
in the Fund

The Sponsor relies heavily on key personnel
to manage its activities. These key personnel intend to allocate their time managing the Fund in a manner that they deem appropriate.
If such key personnel were to leave or be unable to carry out their present responsibilities, it may have an adverse effect on the management
of the Sponsor.

Shareholders have no right or power
to take part in the management of the Fund. Accordingly, no investor should purchase Shares unless such investor is willing to entrust
all aspects of the management of the Fund to the Sponsor.

In addition, certain personnel performing
services on behalf of the Sponsor will be shared with the affiliates of the Sponsor, including with respect to execution, Fund operations
and legal, regulatory and tax oversight. Such individuals will devote a small percentage of their time to those activities.