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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company, is the trustee of the Trust (the “Trustee”). The Trust is managed and controlled by the Sponsor. The Sponsor is a limited liability company formed in the state of Delaware on September 12, 2024. The Trust’s Service Providers The Sponsor The Sponsor, Canary Capital Group LLC, arranged for the creation of the Trust and is responsible for the ongoing registration of the Shares for their public offering in the United States and the listing of Shares on the Exchange. The Sponsor’s principal address is 1131 4th Avenue S #230, Nashville, TN 37210. The Sponsor will develop a marketing plan for the Trust, will prepare marketing materials regarding the Shares of the Trust, and will exercise the marketing plan of the Trust on an ongoing basis. The Sponsor has agreed to pay all normal operating expenses except for Extraordinary Expenses (defined below) out of the Sponsor’s unified fee. The Trustee

The
Trustee, CSC Delaware Trust Company, a Delaware trust company, acts as the trustee of the Trust in accordance with the Declaration of
Trust and as required by the Delaware Statutory Trust Act to create a Delaware statutory trust.

The
Administrator

serves as the Trust’s administrator (the “Administrator”). The Administrator’s principal address is ____. Under
the Administration Agreement, the Administrator provides necessary administrative, tax and accounting services and financial reporting
for the maintenance and operations of the Trust, including valuing the Trust’s TRX and calculating the NAV per Share of the Trust
and the NAV of the Trust and supplying pricing information to the Sponsor for the relevant website. In addition, the Administrator makes
available the office space, equipment, personnel and facilities required to provide such services.

The
Transfer Agent

serves as the transfer agent for the Trust. The Transfer Agent: (1) facilitates the issuance and redemption of Shares of the Trust; (2)
responds to correspondence by Shareholders and others relating to its duties; (3) maintains Shareholder accounts; and (4) makes periodic
reports to the Trust. The Trust’s Transfer Agent will facilitate the settlement of Shares in response to the placement of creation
orders and redemption orders from financial firms that are authorized to purchase or redeem Shares with the Trust (“Authorized Participants”).

The
TRX Custodian

BitGo
Trust Company, Inc. serves as the Trust’s TRX Custodian pursuant to an agreement between it and the Trust (the
“TRX Custody Agreement”). Under the TRX Custody Agreement, the TRX Custodian is responsible for safekeeping the TRX
owned by the Trust. The TRX Custodian was selected by the Sponsor. The TRX Custodian has responsibility for opening a special
account that holds the Trust’s TRX (the “Trust TRX Account”) and implementing the controls designed by the Sponsor
for the account, as well as facilitating the transfer of TRX required for the operation of the Trust.

The TRX Custodian is a South
Dakota trust company. The TRX Custodian is subject to extensive regulation and has among the longest track records in the industry of
providing custodial services for digital asset private keys. The Sponsor believes that the TRX Custodian’s policies, procedures,
and controls for safekeeping, exclusively possessing, and controlling the Trust’s TRX holdings are consistent with industry best
practices to protect against theft, loss, and unauthorized and accidental use of the private keys. The Trust TRX Account and Sponsor’s
TRX Account are segregated accounts and are therefore not commingled with corporate or other customer assets.

Although the TRX Custodian
carries insurance for the benefit of its account holders, the TRX Custodian’s insurance does not cover any loss in value to TRX
and only covers losses caused by certain events such as fraud or theft and, in such covered events, it is unlikely the insurance would
cover the full amount of any losses incurred by the Trust.

The
Cash Custodian

serves as the cash custodian for the Trust. The Cash Custodian is responsible for safekeeping all cash and
other non-TRX assets of the Trust.]

The
Distributor

(“____” or the “Distributor”), is responsible for reviewing and approving the marketing materials prepared by
the Sponsor for compliance with applicable SEC and the Financial Industry Regulatory Authority, Inc. (“FINRA”) advertising
laws, rules, and regulations pursuant to a marketing agreement with the Trust. The principal business address of the Distributor
is ____. The Distributor is a broker-dealer registered under the Securities Exchange Act of 1934 (the
“1934 Act”) and a member of FINRA.

Pricing
Benchmark Services

is responsible for oversight of the ____. ____ is the third-party, independent calculation agent for the Pricing Benchmark.]

TRX
Trading Counterparties

The
Trust buys and sells TRX through TRX trading counterparties selected by the Sponsor (not any Authorized Participant). The Trust does not
currently intend to engage a prime broker or other liquidity provider providing similar services. As of ____, the Trust has entered into
agreements with each of ____, ____, ____ and ____ to serve as a TRX trading counterparty to the Trust. Neither the Sponsor nor the Trust
is under any obligation to direct the Trust’s TRX trade orders to any particular TRX trading counterparty. The Sponsor will not
place orders with any affiliated TRX trading counterparty. Each of these TRX trading counterparties is, and any other trading counterparty
the Trust places orders with in the future will be, subject to U.S. federal and/or state licensing requirements or similar laws in non-U.S.
jurisdictions and maintains practices and policies designed to comply with anti-money laundering (“AML”) and know-your-customer
(“KYC”) regulations or similar laws in non-U.S. jurisdictions.

The Trust’s Fees and
Expenses

The
Trust will pay the Sponsor an annual unified fee of ____% of the Trust’s TRX Holdings (the “Sponsor Fee”). The
Trust’s “TRX Holdings” is the quantity of the Trust’s TRX plus any cash or other assets held by the Trust
represented in TRX as calculated using the Pricing Benchmark price, less its liabilities (which include estimated accrued but unpaid
fees and expenses) represented in TRX as calculated using the Pricing Benchmark price. The Sponsor Fee is paid by the Trust to the
Sponsor as compensation for services performed under the Trust Agreement. The Administrator will calculate the Sponsor Fee in
respect of each day by reference to the prior day’s TRX Holdings. Except for periods during which all or a portion of the
Sponsor Fee is being waived, the Sponsor Fee will accrue daily in TRX and be payable monthly in TRX or cash. To the extent there are
any on-chain transaction fees incurred in connection with the transfers of TRX to pay the Sponsor Fee, the Sponsor, and not the
Trust, shall bear such fees. The Sponsor may, at its sole discretion and from time to time, waive all or a portion of the Sponsor
Fee for stated periods of time. The Sponsor is under no obligation to waive any portion of its fees and any such waiver shall create
no obligation to waive any such fees during any period not covered by the waiver.

partial consideration for its receipt of the Sponsor Fee, the Sponsor is obligated under the Trust Agreement to assume and pay all fees
and other expenses incurred by the Trust in the ordinary course of its affairs, excluding taxes, but including: (i) the fees of the Trust’s
third-party service providers, including, but not limited to, the Distributor, the Administrator, the TRX Custodian, the Transfer Agent,
the Cash Custodian, the Benchmark Provider, and the Trustee, (ii) the fees and expenses related to the listing, quotation or trading of
the Shares on the Exchange (including customary legal, marketing and audit fees and expenses), (iii) legal fees and expenses incurred
in the ordinary course, (iv) audit fees, (v) regulatory fees, including, if applicable, any fees relating to the registration of the Trust
and Shares, including any ongoing filings related to the offering of Shares, under the 1933 Act or the 1934 Act, (vi) printing and mailing
costs, (vii) costs of maintaining the Trust’s website and (viii) applicable license fees (each, a “Sponsor-paid Expense”
and collectively, the “Sponsor-paid Expenses”), provided that any expense that qualifies as an Extraordinary Expense (as defined
below) will not be deemed to be a Sponsor-paid Expense. There is no cap on the amount of Sponsor-paid Expenses. The Sponsor has also assumed
all fees and expenses related to the organization and offering of the Trust and the Shares.