SEC Filing Document

Company: Canary Staked TRX ETF
Ticker: 
CIK: 2064768
Filing Type: S-1/A
Document Type: S-1/A
Date Filed: 2026-05-15
Accession Number: 0001999371-26-010857
Exchange: 
SIC Code: 6221
SIC Description: Commodity Contracts Brokers & Dealers
URL: https://www.sec.gov/Archives/edgar/data/2064768/000199937126010857/canary-s1a_051526.htm

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appealing target to hackers or malware distributors seeking to destroy, damage or steal the Trust’s TRX or private keys and will only become more appealing as the Trust’s assets grow. While the Trust, the Sponsor and the Custodian have implemented procedures to identify and or stop new security threats and expect to adapt to technological changes in the digital asset industry, to the extent such efforts are unsuccessful the Trust’s TRX may be subject to theft, loss, destruction or other attack. Additionally, access to the Trust’s TRX could be restricted by natural events (such as an earthquake or flood) or human actions (such as a terrorist attack). The Sponsor has evaluated the security procedures in place for safeguarding the Trust’s TRX. Nevertheless, the security procedures cannot guarantee the prevention of any loss due to a security breach, software defect or act of God that may be borne by the Trust.

The
security procedures and operational infrastructure may be breached due to the actions of outside parties, error or malfeasance
of an employee of the Sponsor, the Custodian, or otherwise, and, as a result, an unauthorized party may obtain access to the Trust’s
account with the Custodian, the private keys (and therefore TRX) or other data of the Trust. Additionally, outside parties may
attempt to fraudulently induce employees of the Sponsor, the Custodian, or the Trust’s other service providers to disclose
sensitive information in order to gain access to the Trust’s infrastructure. As the techniques used to obtain unauthorized
access, disable or degrade service, or sabotage systems change frequently, or may be designed to remain dormant until a predetermined
event and often are not recognized until launched against a target, the Sponsor and the Custodian may be unable to anticipate
these techniques or implement adequate preventative measures.

actual or perceived breach of the Trust’s account with the Custodian could harm the Trust’s operations, result in
partial or total loss of the Trust’s assets, damage the Trust’s reputation and negatively affect the market perception
of the effectiveness of the Trust, all of which could in turn reduce demand for the Shares, resulting in a reduction in the price
of the Shares. The Trust may also cease operations, the occurrence of which could similarly result in a reduction in the price
of the Shares.

While
the Sponsor and the Trust’s service providers have established business continuity plans and systems that they respectively believe
are reasonably designed to prevent cyber-attacks, there are inherent limitations in such plans and systems including the possibility that
certain risks have not been, or cannot be, identified. Service providers may have limited indemnification obligations to the Trust, which
could be negatively impacted as a result, see “Liability and Indemnification” and “Material Contracts”
below.

the Trust’s holdings of TRX are lost, stolen or destroyed under circumstances rendering a party liable to the Trust, the
responsible party may not have the financial resources sufficient to satisfy the Trust’s claim. For example, as to a particular
event of loss, the only source of recovery for the Trust may be limited to the relevant custodian or, to the extent identifiable,
other responsible third parties (for example, a thief or terrorist), any of which may not have the financial resources (including
liability insurance coverage) to satisfy a valid claim of the Trust. Similarly, as noted below, the Trust’s Custodian has
limited liability to the Trust, which could adversely affect the Trust’s ability to seek recovery from them, even when the
Custodian’s actions or failure to act are the cause of the Trust’s loss.

may not be possible, either because of a lack of available policies or because of prohibitive cost, for the Trust to obtain insurance
that would cover losses of the Trust’s TRX. If an uninsured loss occurs or a loss exceeds policy limits, the Trust could lose all
of its assets.

The
Trust’s risk management processes and policies may prove to not be adequate to prevent any loss of the Trust’s TRX.

Custody
of digital assets presents inherent and unique risks relating to access loss, theft and means of recourse in such scenarios. The
Sponsor is continuing to monitor and evaluate the Trust’s risk management processes and policies and believes that the current
risk management processes and procedures are reasonably designed and effective. The Trust does not normally interact with any digital
asset trading platforms, and the Trust’s TRX is held in one or more cold storage wallets
with the Custodian, a national banking association chartered by the United States Office of the Comptroller of the Currency, pursuant
to an express custodial relationship. The Sponsor believes that the security procedures that the Sponsor and the Custodian utilize,
such as hardware redundancy, segregation and offline data storage (i.e., the maintenance of data on computers and/or storage media
that is not directly connected to or accessible from the internet and/or networked with other computers, also known as “cold
storage”) protocols are reasonably designed to safeguard the Trust’s TRX from theft,
loss, destruction or other issues relating to hackers and technological attack. Despite the number of security procedures that
the Sponsor and Custodian employ, it is impossible to guarantee the prevention of any loss due to a security breach, software defect,
act of God, pandemic or riot that may be borne by the Trust. Notwithstanding the above, the Sponsor and the Custodian are responsible
for their own gross negligence, willful misconduct or bad faith. In the event that the Trust’s risk management processes
and policies prove to not be adequate to prevent any loss of the Trust’s TRX and such
loss is not covered by insurance or is otherwise recoverable, the value of the Shares will decrease as a result and investors would
experience a decrease in the value of their investment.

The
Custodian could become insolvent or become subject to a receivership or bankruptcy proceeding, which may result in a loss of or
delay in access to Trust assets.

If the
Custodian becomes insolvent or subject to a receivership or bankruptcy proceeding, the Trust’s operations may be adversely
affected, and there is a risk that the insolvency, receivership or bankruptcy of the Custodian may result in the loss of all or
a substantial portion of the Trust’s assets or in a significant delay in the Trust having access to those assets.

The Trust’s
assets will be held in one or more accounts maintained for the Trust by the Custodian. Given that the contractual protections and
legal rights of customers with respect to digital assets held on their behalf by third parties are relatively untested in a bankruptcy
or receivership proceeding of an entity such as the Custodian, in the event of an insolvency, receivership or bankruptcy proceeding
with respect to the Custodian, there is a risk that the Trust’s assets may be considered the property of the bankruptcy estate
of the Custodian, and that customers of the Custodian – including the Trust – may be at risk of being treated as general
unsecured creditors of the Custodian and subject to the risk of total loss or markdowns on value of such assets. Moreover, even
if the Trust’s assets ultimately are not treated as part of the Custodian’s bankruptcy estate, the automatic stay could
apply until the bankruptcy court made such a determination, and the limited precedent and fact-dependent nature of the determination
could delay or preclude the return of such assets to the Trust. Further, the bankruptcy court may permit the Custodian to retain
possession or custody of its customers’ assets until any claims the estate may have against the customers (including the
Trust) are resolved.

actual or perceived business failure or interruption, default, failure to perform security breach or other problems affecting
the Custodian could harm the Trust’s operations, result in partial or total loss of the Trust’s assets, damage the
Trust’s reputation and negatively affect the market perception of the effectiveness of the Trust, all of which could in
turn reduce demand for the Shares, resulting in a reduction in the price of the Shares.

The
Trust may change the custodial arrangements described in this Prospectus at any time without notice to Shareholders.

Loss
of a critical banking relationship for, or the failure of a bank used by, the Trust could adversely impact the Trust’s ability to
create or redeem Baskets, or could cause losses to the Trust.