SEC Filing Document

Company: T. Rowe Price Active Crypto ETF
Ticker: 
CIK: 2089855
Filing Type: S-1/A
Document Type: S-1/A
Date Filed: 2026-05-15
Accession Number: 0001999371-26-010860
Exchange: 
SIC Code: 6221
SIC Description: Commodity Contracts Brokers & Dealers
URL: https://www.sec.gov/Archives/edgar/data/2089855/000199937126010860/tknz-s1a_051526.htm

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party in covering a short sale — the Shareholder may be considered as having made a taxable disposition of the loaned Shares, in which case: ● the Shareholder may recognize taxable gain or loss to the same extent as if it had sold the Shares for cash; ● any of the income, gain, loss, deduction or credit allocable to those Shares during the period of the loan is not reportable by the Shareholder for U.S. federal income tax purposes; and ● any distributions the Shareholder receives with respect to the Shares under the loan agreement will be fully taxable to the Shareholder, most likely as ordinary income for U.S. federal income tax purposes. Shareholders desiring to avoid these and other possible consequences of a deemed disposition of their Shares should consider modifying any applicable brokerage account agreements to prohibit the lending of their Shares. Other U.S. Federal Income Tax Matters

Information
Reporting The Fund provides tax information to the Shareholders and to the IRS, as required. Shareholders of the Fund are treated
as partners in a partnership for U.S. federal income tax purposes. Accordingly, the Fund will furnish Shareholders each year with tax
information on IRS Schedule K-1 (Form 1065), which will be used by the Shareholders in completing their U.S. federal income tax returns.
The IRS has ruled that assignees of partnership interests who have not been admitted to a partnership as partners but who have the capacity
to exercise substantial dominion and control over the assigned partnership interests will be considered partners for U.S. federal income
tax purposes. On the basis of this ruling, except as otherwise provided herein, we will treat as a Shareholder any person whose Shares
are held on that person’s behalf by a broker or other nominee if that person has the right to direct the nominee in the exercise
of all substantive rights attendant to the ownership of the Shares.

Persons who hold an interest in the
Fund as a nominee for another person are required to furnish to us the following information: (1) the name, address and taxpayer identification
number of the beneficial owner and the nominee; (2) whether the beneficial owner is (a) a person that is not a U.S. person, (b) a foreign
government, an international organization or any wholly-owned agency or instrumentality of either of the foregoing, or (c) a tax-exempt
entity; (3) the number and a description of Shares acquired or transferred for the beneficial owner; and (4) certain information including
the dates of acquisitions and transfers, means of acquisitions and transfers, and acquisition cost for purchases, as well as the amount
of net proceeds from sales. Brokers and financial institutions are required to furnish additional information, including whether they
are U.S. persons and certain information on Shares they acquire, hold or transfer for their own account. A penalty of $250 per failure
(as adjusted for inflation), up to a maximum of $3,000,000 per calendar year (as adjusted for inflation), is imposed by the Code for failure
to report such information correctly to the Fund. If the failure to furnish such information correctly is determined to be willful, the
per failure penalty increases to $500 (as adjusted for inflation) or, if greater, 10% of the aggregate amount of items required to be
reported, and the $3,000,000 maximum does not apply. The nominee is required to supply the beneficial owner of the Shares with the U.S.
federal income tax information furnished by the Fund.

Partnership
Audit Procedures The IRS may audit the U.S. federal income tax returns filed by the Fund. Partnerships are generally treated
as separate entities for purposes of U.S. federal tax audits, judicial review of administrative adjustments by the IRS, and tax settlement
proceedings. The tax treatment of partnership items of income, gain, loss and deduction is determined at the partnership level in a unified
partnership proceeding rather than in separate proceedings with the partners.

Tax deficiencies (including interest
and penalties) that arise from an adjustment to partnership items generally are assessed and collected from the partnership (rather than
from the partners), and generally are calculated using maximum applicable tax rates (although such partnership level tax may be reduced
or eliminated under limited circumstances). A narrow category of partnerships (generally, partnerships having no more than 100 partners
that consist exclusively of individuals, C corporations, S corporations and estates) are permitted to elect out of the partnership-level
audit rules. As an alternative to partnership-level tax liability, a partnership may elect to furnish adjusted Schedule K-1s to the IRS
and to each person who was a partner in the audit year, stating such partner’s share of any partnership adjustments, and each such
partner would then take the adjustments into account on its tax returns in the year in which it receives its adjusted Schedule K-1 (rather
than by amending their tax returns for the audited year). If the Fund were subject to a partnership level tax, the economic return of
all Shareholders (including Shareholders that did not own Shares in the Fund during the taxable year to which the audit relates) may be
affected.

The Trust Agreement provides that
if the Fund becomes subject to any tax as a result of any adjustment to taxable income, gain, loss, deduction or credit for any taxable
year of the Fund (pursuant to a tax audit or otherwise), such Shareholder (and each former Shareholder) is obligated to indemnify the
Fund and the Sponsor against any such taxes (including any interest and penalties) to the extent such tax (or portion thereof) is properly
attributable to such Shareholder (or former Shareholder). In addition, the Sponsor, on behalf of the Fund, will be authorized to take
any action permitted under applicable law to avoid the assessment of any such taxes against the Fund (including an election to issue adjusted
Schedule K-1s to the Shareholders (and/or former Shareholders) that take such adjustments to taxable income, gain, loss, deduction or
credit into account, resulting in each such Shareholder taking those adjustments into account on its tax returns).

Reportable
Transaction Rules In certain circumstances the Code and Treasury Regulations require that the IRS be notified of
transactions through a disclosure statement attached to a taxpayer’s U.S. federal income tax return. These disclosure rules
may apply to transactions irrespective of whether they are structured to achieve particular tax benefits. They could require
disclosure by the Fund or Shareholders if a Shareholder incurs a loss in excess of a specified threshold from a sale or redemption
of its Shares and possibly in other circumstances. While these rules generally do not require disclosure of a loss recognized on the
disposition of an asset in which the taxpayer has a “qualifying basis” (generally a basis equal to the amount of cash
paid by the taxpayer for such asset), they apply to a loss recognized with respect to interests in a pass-through entity, such as
the Shares, even if the taxpayer’s basis in such interests is equal to the amount of cash it paid. In addition, significant
monetary penalties may be imposed in connection with a failure to comply with these reporting requirements. Investors should consult
their own tax advisor concerning the application of these reporting requirements to their specific situation.