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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Pricing Benchmark is calculated based on the “Relevant Transactions” (as defined below) of all of its constituent TRX trading venues (the “Constituent Platforms”) as follows: ● All Relevant Transactions are added to a joint list, recording the time of execution, trade price and size for each transaction. ● The list is partitioned by timestamp into twelve (12) equally sized time intervals of five (5) minutes in length. ● For each partition separately, the volume-weighted median trade price is calculated from the trade prices and sizes of all Relevant Transactions, i.e., across all Constituent Platforms. A volume-weighted median differs from a standard median in that a weighting factor, in this case trade size, is factored into the calculation. ● The Pricing Benchmark is then determined by the equally weighted average of the volume medians of all partitions. 20__, the Constituent Platforms included in the Pricing Benchmark are ____, ____ and ____.

●	____ : A U.S.-based exchange registered as an MSB with FinCEN and licensed
as a virtual currency business under the NYDFS BitLicense as well as a money transmitter in various U.S. states. Subsidiaries operating
internationally are further regulated as e-money providers (Republic of Ireland, Central Bank of Ireland) and Major Payment Institutions
(Singapore, Monetary Authority of Singapore).

●	____ : A U.S.-based exchange that is licensed as a virtual currency business
under the NYDFS BitLicense. It is also registered with FinCEN as an MSB and is licensed as a money transmitter in various U.S. states.
It is also registered with the FCA as a Crypto Asset Business.

●	____ : A U.S.-based exchange that is registered as an MSB with FinCEN in various
U.S. states, ____ is registered with the FCA as a Crypto Asset Business and is authorized by the Central Bank of Ireland as a Virtual
Asset Service Provider. ____ also holds a variety of other licenses and regulatory approvals, including from the Canadian Securities Administrators.

There may be changes
to Constituent Platforms comprising the Pricing Benchmark. Once it has actual knowledge of changes to the Constituent Platforms used to
calculate the Pricing Benchmark, or other material changes to the Pricing Benchmark calculation methodology, the Trust will notify Shareholders
in a prospectus supplement and a current report on Form 8-K or in its annual or quarterly reports.

Pricing Benchmark
data and the description of the Pricing Benchmark are based on information made publicly available by the Benchmark Provider on its website
at https://www.coindesk.com. None of the information on the Benchmark Provider’s website is incorporated by reference into this
Prospectus.

The Constituent
Platforms that contribute transaction data to the Pricing Benchmark with the aggregate volumes traded on their respective TRX-USD markets
over the preceding four calendar quarters are listed in the table below:

The Constituent
Platforms that contribute transaction data to the Pricing Benchmark with the aggregate volumes traded on their respective TRX-USD markets
over the preceding four calendar quarters are listed in the table below:

Aggregate Trading Volume of TRX-USD Markets of
Pricing Benchmark Constituent Platforms

Period	____	____	____

The
market share for TRX-USD trading of the Constituent Platforms over the past four calendar quarters is shown in the table below:

TRX Trading Platform Market Share of TRX-USD Trading

Period	____	____	____

COINDESK
DATA IS USED UNDER LICENSE AS A SOURCE OF INFORMATION FOR THE TRUST’S PRODUCTS. COINDESK, ITS AGENTS AND LICENSORS HAVE NO OTHER
CONNECTION TO THE TRUST’S PRODUCTS AND SERVICES AND DOES NOT SPONSOR, ENDORSE, RECOMMEND OR PROMOTE ANY OF THE TRUST’S PRODUCTS
OR SERVICES. COINDESK, ITS AGENTS AND LICENSORS HAVE NO OBLIGATION OR LIABILITY IN CONNECTION WITH THE TRUST’S PRODUCTS AND SERVICES.
COINDESK, ITS AGENTS AND LICENSORS DO NOT GUARANTEE THE ACCURACY AND/OR THE COMPLETENESS OF ANY INDEX LICENSED TO THE TRUST AND SHALL
NOT HAVE ANY LIABILITY FOR ANY ERRORS, OMISSIONS, OR INTERRUPTIONS THEREIN.]

Trust Structure

The
Trust is a statutory trust formed under the Delaware Statutory Trust Act, and the Trust Agreement constitutes the “governing instrument”
of the Trust under the laws of the State of Delaware relating to statutory trusts. The Trust holds TRX and is expected from time to time
to issue Baskets in exchange for deposits of cash and to distribute cash in connection with redemptions of Baskets. The Trust’s
investment objective is to seek to provide exposure to the value of TRX held by the Trust, less the expenses of the Trust’s operations
and other liabilities. In seeking to achieve its investment objective, the Trust will hold TRX and establish its NAV by reference to the
Pricing Benchmark.

The
Sponsor believes the Trust’s is a straight-forward solution to seek its investment objective. Besides cash received in connection
with purchase orders of Baskets, the Trust’s sole asset is expected to be TRX held with the TRX Custodian. The Sponsor believes
that the Pricing Benchmark is a representative value for the USD-TRX price of TRX, based on the methodology administered by the Benchmark
Provider.

The
Trust processes and pays its only ordinary expense (the Sponsor Fee) in TRX. The Trust will only sell TRX (1) in connection with the redemption
of Baskets for cash, (2) on an as-needed basis to pay Trust expenses not assumed by the Sponsor, (3) in the event the Trust terminates
and liquidates its assets, or (4) as otherwise required by law or regulation. This restriction provides protection against potential attempts
by bad actors to manipulate the operation of the Trust based on how the Trust calculates its NAV.

Investors
may obtain on a 24-hour basis TRX pricing information based on the spot price for one TRX from various financial information service providers.
Current spot prices are also generally available with bid/ask spreads from digital asset trading platforms, including the Constituent
Platforms. Market prices for the Shares are available from a variety of sources including brokerage firms, information websites and other
information service providers. The NAV of the Trust is published by the Sponsor at the Trust’s website (https://etfs.canary.capital)
on each day that the Exchange is open for regular trading and is posted on the Trust’s website.

CALCULATION
OF NAV

Under
normal circumstances, the Trust’s only asset will be TRX and, under limited circumstances, cash. The Trust’s TRX is carried,
for financial statement purposes, at fair value, as required by the U.S. generally accepted accounting principles (“GAAP”).
The Trust’s NAV will be determined by the Administrator once each Exchange trading day at 4:00 p.m. Eastern time (“ET”),
or as soon thereafter as practicable. The NAV for a normal trading day will be released after 4:00 p.m. ET. Trading during the core trading
session on the Exchange typically closes at 4:00 p.m. ET. However, NAVs are not officially struck until later in the day (often by 5:30
p.m. and almost always by 8:00 p.m.). The pause between 4:00 p.m. and 5:30 p.m. (or later) provides an opportunity for the Sponsor to
algorithmically detect, flag, investigate, and correct unusual pricing should it occur.

The
Administrator will calculate the NAV of the Trust by multiplying the number of TRX held by the Trust by the Pricing Benchmark for such
day, adding any additional receivables and subtracting the accrued but unpaid expenses and liabilities of the Trust. The Trust’s
NAV per Share is calculated by dividing the Trust’s NAV by the number of Shares then outstanding. The Administrator will determine
the price of the Trust’s TRX by reference to the Pricing Benchmark, which is published between 4:00 p.m. and 4:30 p.m. ET on every
calendar day. The methodology used to calculate the Pricing Benchmark price to value TRX in determining the NAV of the Trust may not be
deemed consistent with GAAP. To the extent the methodology used to calculate the Pricing Benchmark is deemed inconsistent with GAAP, the
Trust will utilize an alternative GAAP-consistent pricing source for purposes of the Trust’s periodic financial statements.

The
Sponsor has the exclusive authority to determine the NAV of the Trust. The Sponsor has delegated to the Administrator the responsibility
to calculate the NAV of the Trust and the NAV, based on a pricing source selected by the Sponsor (the Pricing Benchmark). The Administrator
will determine the NAV of the Trust each business day. In determining the NAV of the Trust, the Administrator values the TRX held by the
Trust based on the Pricing Benchmark, unless otherwise determined by the Sponsor in its sole discretion. If the Pricing Benchmark is not
available or the Sponsor in its sole discretion determines that the Pricing Benchmark should not be used, the Trust’s holdings may
be fair valued in accordance with the policy approved by the Sponsor. The Sponsor does not anticipate that the need to “fair value”
TRX will be a common occurrence.