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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may be significantly greater than would be the case if the Trust had attracted more assets. The Sponsor may need to find and appoint a replacement custodian quickly, which could pose a challenge to the safekeeping of the Trust’s TRX. The Sponsor could decide to replace the Custodian as the custodian of the Trust’s TRX, or the Custodian may cease providing the custodial services necessary for the Trust’s normal operations. For example, the Trust’s custodian may become insolvent and enter bankruptcy or receivership proceedings, or discontinue business operations with little or no warning to the Sponsor or the Trust. Transferring maintenance responsibilities of the Trust’s account with the Custodian to another party will likely be complex and could subject the Trust’s TRX to the risk of loss during the transfer, which could have a negative impact on the performance of the Shares or result in loss of the Trust’s assets.

The
Sponsor may not be able to find a party willing to serve as the custodian under the same terms as the current Custodial Services Agreement.
To the extent that Sponsor is not able to find a suitable party willing to serve as the custodian, the Sponsor may be required to terminate
the Trust and liquidate the Trust’s TRX.

Limited
recourse.

The
Custodian has limited liability for any loss, claim, or damage to the Trust, impairing the ability of the Trust to recover losses
relating to its TRX and any recovery may be limited, except to the extent of a final, non-appealable judicial determination that
such loss, claim or damage directly resulted from the gross negligence, willful misconduct or fraud of the Custodian. In addition,
the Custodian is generally not be liable for any loss caused, directly or indirectly, by the failure of the Trust to adhere to
the Custodian’s policies and procedures that have been disclosed to the Trust, a force majeure event or certain actions determined
by the Custodian to be necessary or advisable to inspect and protect the security of the Trust’s assets. Furthermore, the
Custodian is generally not liable for a loss caused, directly or indirectly, by any failure or delay to act by any service provider
to the Custodian or any system failure (other than a system failure caused by the gross negligence, willful misconduct or fraud
of the Custodian or the Custodian’s affiliates), that prevents the Custodian from fulfilling its obligations.

Under
the Trust Agreement, the Trustee and the Sponsor will not be liable for any liability or expense incurred absent fraud, gross negligence,
bad faith or willful misconduct on the part of the Trustee or the Sponsor or breach by the Sponsor of the Trust Agreement, as the case
may be. As a result, the recourse of the Trust or the Shareholder to Trustee or the Sponsor may be limited.

The
Benchmark Provider has limited liability relating to the use of the Pricing Benchmark, impairing the ability of the Trust to recover losses
relating to its use of the Pricing Benchmark. The Benchmark Provider does not guarantee the accuracy, completeness, or performance of
the Pricing Benchmark or the data included therein and shall have no liability in connection with the Pricing Benchmark or index calculation,
errors, omissions or interruptions of any index or any data included therein. The Pricing Benchmark could be calculated now or in the
future in a way that adversely affects an investment in the Trust.

The
calculation agent also has limited liability, impairing the ability of the Trust to recover losses relating to the calculation of the
Pricing Benchmark.

The
value of the Shares will be adversely affected if the Trust is required to indemnify the Sponsor, the Trustee, the Transfer Agent
or the Custodian.

Each
of the Sponsor, the Trustee, the Transfer Agent and the Custodian has a right to be indemnified by the Trust for certain liabilities
or expenses that it incurs without gross negligence, bad faith or willful misconduct on its part. Therefore, the Sponsor, Trustee,
Transfer Agent or the Custodian may require that the assets of the Trust be sold in order to cover losses or liability suffered
by it. Any sale of that kind would reduce the TRX holdings of the Trust and the value of the Shares.

Intellectual
property rights claims may adversely affect the Trust and the value of the Shares.

The
Sponsor is not aware of any intellectual property rights claims that may prevent the Trust from operating and holding TRX. However,
third parties may assert intellectual property rights claims relating to the operation of the Trust and the mechanics instituted for
the investment in, holding of and transfer of TRX. Regardless of the merit of an intellectual property or other legal action, any
legal expenses to defend or payments to settle such claims would be Extraordinary Expenses that would be borne by the Trust through
the sale or transfer of its TRX and any threatened action that reduces confidence in
long-term viability or the ability of end-users to hold and transfer TRX may adversely affect the value of the Shares. Additionally,
a meritorious intellectual property rights claim could prevent the Trust from operating and force the Sponsor to terminate the Trust
and liquidate its TRX. As a result, an intellectual property rights claim against the Trust could adversely affect the value of the
Shares.

Unforeseeable
risks.

TRX
has gained commercial acceptance only within recent years and, as a result, there is little data on its long-term investment potential.
Additionally, due to the rapidly evolving nature of the TRX market, including advancements in the underlying technology, changes to TRX
may expose investors in the Trust to additional risks which are impossible to predict.

The
Sponsor’s policies and procedures may not fully mitigate the risk of conflicts of interest.

The
Sponsor does not have operating practices that require personnel to pre-clear personal trading activity in which TRX is the referenced
asset. In general, pre-clearance policies prohibit employees and agents from engaging in certain personal trading activity without first
obtaining pre-clearance of the transaction from the firm’s chief compliance officer, chief financial officer, or some senior officer
with similar responsibilities.

Without
implementing pre-clearance requirements, the Sponsor may not be able to fully mitigate the risk of conflicts of interest or avoid the
appearance of impropriety in connection with the purchase and sale of TRX. There is no guarantee that every employee, officer, director,
or similar person associated with the Sponsor, or its affiliates will refrain from engaging in insider trading in violation of their duties
to the Trust and Sponsor.

This
risk is present in traditional financial markets and is not unique to TRX. If such employees or others affiliated with the Sponsor engage
in illegal conduct or conduct which fails to meet applicable regulatory standards, the Sponsor and its affiliates could be the target
of civil or criminal fines, penalties, punishments, or other regulatory sanctions or lawsuits or could be the target of an investigation.
Any of these outcomes could cause the Trust and Shareholders to suffer harm.

The
Sponsor and its affiliates may also participate in transactions related to TRX, either for their own account (subject to certain internal
employee trading operating practices) or for the account of others, such as clients, and such transactions may occur prior to, during,
or after the commencement of this offering. Such transactions may not serve to benefit the Shareholders of the Trust and may have a positive
or negative effect on the value of the TRX held by the Trust and, consequently, on the market value of TRX.

Potential
conflicts of interest may arise among the Sponsor or its affiliates and the Trust. The Sponsor and its affiliates have no fiduciary duties
to the Trust and its Shareholders other than as provided in the Trust Agreement, which may permit them to favor their own interests to
the detriment of the Trust and its Shareholders.

The Sponsor will
manage the affairs of the Trust. Conflicts of interest may arise among the Sponsor and its affiliates, on the one hand, and the Trust
and its Shareholders, on the other hand. As a result of these conflicts, the Sponsor may favor its own interests and the interests of
its affiliates over the Trust and its Shareholders. These potential conflicts include, among others, the following:

●	the Sponsor has no fiduciary duties to, and is allowed to take into account the
interests of parties other than, the Trust and its Shareholders in resolving conflicts of interest, provided the Sponsor does not act
in bad faith;

●	the Trust has agreed to indemnify the Sponsor, the Trustee and their respective
affiliates pursuant to the Trust Agreement;

●	the Sponsor is responsible for allocating its own limited resources among different
clients and potential future business ventures, to each of which it may owe fiduciary duties;