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: 2026-03-16
Accession Number: 0001999371-26-005896
Exchange: 
SIC Code: 6221
SIC Description: Commodity Contracts Brokers & Dealers
URL: https://www.sec.gov/Archives/edgar/data/2089855/000199937126005896/active-s1a_031626.htm

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one example, a Shareholder could be allocated and required to pay tax on such Shareholder’s share of interest income accrued by the Fund for a particular taxable year, and in the same year be allocated a share of a capital loss that such Shareholder cannot deduct currently because such Shareholder has insufficient capital gains against which to offset the loss. As another example, a Shareholder could be allocated and required to pay tax on such Shareholder’s share of interest income and capital gain for a year but be unable to deduct some or all of such Shareholder’s share of management fees and/or margin account interest incurred by such Shareholder with respect to such Shareholder’s Shares. Shareholders are urged to consult their own tax advisor regarding the effect of limitations under the Code on their ability to deduct their allocable share of the Fund’s losses and expenses. Tax Basis of Shares

A Shareholder’s tax basis
in its Shares is important in determining (1) the amount of taxable gain or loss it will realize on the sale or other disposition
of its Shares, (2) the amount of non-taxable distributions that it may receive from the Fund, and (3) its ability to utilize its
distributive share of any losses of the Fund on its U.S. federal income tax return. A Shareholder’s initial tax basis of
its Shares will equal its cost for the Shares plus its share of the Fund’s liabilities (if any) at the time of purchase.
In general, a Shareholder’s “share” of those liabilities will equal the sum of (i) the entire amount of any otherwise
nonrecourse liability of the Fund as to which the Shareholder or certain affiliates of the Shareholder is the creditor (a “partner
nonrecourse liability”) and (ii) a pro rata share of any nonrecourse liabilities of the Fund that are not partner nonrecourse
liabilities as to any Shareholder.

A Shareholder’s tax basis
in its Shares generally will be (1) increased by (a) its allocable share of the Fund’s taxable income and gain and (b) any
additional contributions by the Shareholder to the Fund and (2) decreased (but not below zero) by (a) its allocable share of the
Fund’s tax deductions and losses and (b) any distributions by the Fund to the Shareholder. For this purpose, an increase
in a Shareholder’s share of the Fund’s liabilities will be treated as a contribution of cash by the Shareholder to
the Fund and a decrease in that share will be treated as a distribution of cash by the Fund to the Shareholder. Pursuant to certain
IRS rulings, a Shareholder will be required to maintain a single, “unified” basis in all Shares that it owns. As a
result, when a Shareholder that acquired its Shares at different prices sells less than all of its Shares, such Shareholder will
not be entitled to specify particular Shares (e.g., those with a higher basis) as having been sold. Rather, such Shareholder must
determine its gain or loss on the sale by using an “equitable apportionment” method to allocate a portion of its unified
basis in its Shares to the Shares sold.

Treatment of Fund Distributions

If the Fund makes non-liquidating
distributions to Shareholders, such distributions generally will not be taxable to the Shareholders for U.S. federal income tax
purposes except to the extent that the amount of money distributed exceeds the Shareholder’s adjusted basis of its interest
in the Fund immediately before the distribution. Any money distributed that is in excess of a Shareholder’s tax basis generally
will be treated as gain from the sale or exchange of Shares. For purposes of determining the gain recognized on a distribution
from a partnership, a marketable security distributed to a partner is generally treated as money. This treatment, however, does
not apply to distributions to “eligible partners” of an “investment partnership,” as those terms are defined
in the Code.

Tax Consequences of Disposition
of Shares

If a Shareholder sells its
Shares, it will recognize gain or loss equal to the difference between the amount realized and its adjusted tax basis for the Shares
sold. A Shareholder’s amount realized will be the sum of the cash or the fair market value of other property received plus
its share of the Fund’s liabilities.

Gain or loss recognized by
a Shareholder on the sale or exchange of Shares held for more than one year will generally be taxable as long-term capital gain
or loss; otherwise, such gain or loss will generally be taxable as short-term capital gain or loss. A special election is available
under the Treasury Regulations that allows Shareholders to identify and use the actual holding periods for the Shares sold for
purposes of determining whether the gain or loss recognized on a sale of Shares will give rise to long-term or short-term capital
gain or loss. It is expected that most Shareholders will be eligible to elect, and generally will elect, to identify and use the
actual holding period for Shares sold. If a Shareholder who has differing holding periods for its Shares fails to make the election
or is not able to identify the holding periods of the Shares sold, the Shareholder will have a split holding period in the Shares
sold. Under such circumstances, a Shareholder will be required to determine its holding period in the Shares sold by first determining
the portion of its entire interest in the Fund that would give rise to long-term capital gain or loss if its entire interest were
sold and the portion that would give rise to short-term capital gain or loss if the entire interest were sold. The Shareholder
would then treat each Share sold as giving rise to long-term capital gain or loss and short-term capital gain or loss in the same
proportions as if it had sold its entire interest in the Fund.

Under Section 751 of the Code,
a portion of a Shareholder’s gain or loss from the sale of Shares (regardless of the holding period for such Shares), will
be separately computed and taxed as ordinary income or loss to the extent attributable to “unrealized receivables”
or “inventory” owned by the Fund. The term “unrealized receivables” includes, among other things, market
discount bonds and short-term debt instruments to the extent such items would give rise to ordinary income if sold by the Fund.
Such amounts of ordinary income allocated to a Shareholder may be less than, equal to or more than the amount of such gain or loss
that otherwise would have recognized by such Shareholder on such sale of Shares.

If some or all of a Shareholder’s
Shares are lent by its broker or other agent to a third party — for example, for use by the third 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.