Canary AXL Trust
Seamless Institutional Access to Cross-Chain Infrastructure
The Axelar network enables secure, programmable cross-chain communication for Web3. Built to support an interoperable future, Axelar allows smart contracts on any blockchain to seamlessly interact with one another. The AXL token powers this ecosystem, used for transaction fees, staking to secure the network, and governance over protocol upgrades and expansion.
Interoperability at Scale Across Web3
Invest in the leading cross-chain communication layer connecting major blockchains, dApps, and assets
Direct Exposure to AXL Without Self-Custody
Gain simplified access to AXL via a Grantor Trust structure, eliminating the need for personal wallet management or private key risk
Institutional Structure With Daily Liquidity
Streamlined onboarding, daily subscriptions, and ease of beneficiary transfer make CCAXL accessible and efficient for accredited investors
Investment Details
Trust Name
Canary AXL Trust
Fund Registration
Exempt. Regulation D
Private Placement
Sponsor
Canary Capital Group LLC
Taxation
Grantor Trust; no K-1
Strategy
Direct Ownership of AXL
Contributions
US bank wires & AXL
Minimum Investment
5,000 USD
Custody
Coinbase Custody Trust Company, LLC
Sponsor Fee
2.50%
Administrator
Ascent Fund Services (US) LLC
Subscriptions
Daily
Tax & Accounting
Richey, May & Co.
About Canary Capital Group
We offer Institutional crypto asset trading and management via our discretionary long/short hedge fund and single-asset trusts. These services are tailored to meet the needs of institutional or accredited investors looking for exposure to cryptocurrencies and digital assets.
Our investment team is composed of crypto native and traditional finance professionals with over a decade of digital asset trading and management experience. Robust trading and custodial risk management processes are integrated across all of Canary Capital's digital asset products to ensure client assets are executed with the highest standards of safety and efficiency.
About AXL
Cross-Chain Interoperability
Axelar connects blockchain ecosystems, enabling seamless communication and asset transfers across major networks like Ethereum, Cosmos, and Avalanche.
Secure & Decentralized Validator Set
The network operates with a dynamic validator set using delegated proof-of-stake (DPoS), ensuring security and decentralization while processing cross-chain requests.
Smart Contract Integration
Developers can easily build cross-chain dApps using Axelar’s General Message Passing (GMP) protocol, which supports smart contract execution across different chains.
AXL Token Utility
AXL is used for paying network fees, staking to secure the network, and participating in governance decisions that shape protocol development.
Enterprise & Ecosystem Growth
Axelar’s growing integrations with major DeFi platforms, wallets, and chains fuel adoption, enabling scalable infrastructure for the future of Web3.
Disclosures
Canary Capital Group Inc. (“CCG”) is the parent holding company of Canary Capital Group LLC (“Canary”). CCG and Canary are not registered as investment advisers under the Investment Advisers Act of 1940 and none of the investment products (“Products”) sponsored or managed by Canary are registered under the Investment Company Act of 1940.
Carefully consider each Product’s investment objectives, risk factors, fees and expenses before investing. This and other information can be found in each Product’s private placement memorandum, which may be obtained from Canary. Investments in digital assets are speculative investments that involve high degrees of risk, including a partial or total loss of invested funds. Investments in digital assets are not suitable for any investor that cannot afford loss of the entire investment.
Canary intends to attempt to have shares of its Products quoted on a secondary market. However, there is no guarantee that Canary will be successful in having shares quoted on a secondary market. Although the shares of similar products have been approved for trading on a secondary market, investors in the Products should not assume that the shares will ever obtain such an approval due to a variety of factors, including questions regulators such as the SEC, FINRA or other regulatory bodies may have regarding such products. As a result, shareholders of such Products should be prepared to bear the risk of investment in the shares indefinitely.
The shares of each Product are not registered under the Securities Act of 1933, the Securities Exchange Act of 1934 (except for Products that may become SEC reporting companies), the Investment Company Act of 1940, or any state securities laws. The Products are offered in private placements pursuant to the exemption from registration provided by Rule 506(c) under Regulation D of the Securities Act of 1933. As a result, the shares of each Product are restricted and subject to significant limitations on resales and transfers. Potential investors in any Product should carefully consider the long-term nature of an investment in that Product prior to making an investment decision.
Canary’s private placements are only available to Accredited Investors, as defined in Rule 501(a) of Regulation D under the Securities Act of 1933. Most individuals are not Accredited Investors. An individual must earn more than $200,000 a year (or $300,000 per year with a spouse or spousal equivalent), have a net worth over $1 million either alone or together with a spouse or spousal equivalent, excluding their primary residence, or hold in good standing their Series 7, Series 65, or Series 82 professional certifications. Entities must have $5 million in liquid assets or all beneficial owners must be Accredited Investors.
This is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction where such an offer or solicitation would be illegal, nor shall there be any sale of any security in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction. Canary Products are not suitable for any investor that cannot afford loss of the entire investment. The shares of each Product are intended to reflect the price of the digital asset(s) held by such Product (based on digital asset(s) per share), less such Product’s expenses and other liabilities. Because each Product does not currently operate a redemption program, there can be no assurance that the value of such Product’s shares will approximate the value of the assets held by such Product, less such Product’s expenses and other liabilities.
Digital Asset Risk Disclosures
Smart contracts are a new technology and ongoing development may magnify initial problems, cause volatility on the networks that use smart contracts and reduce interest in them, which could have an adverse impact on the value of Digital Assets that deploy smart contracts.
The value of the Product shares relates directly to the value of the underlying digital asset, the value of which may be highly volatile and subject to fluctuations due to a number of factors. Extreme volatility of trading prices that many digital assets have experienced in recent periods and may continue to experience, could have a material adverse effect on the value of the Product and the shares of each Product could lose all or substantially all of their value.
Digital assets represent a new and rapidly evolving industry. The value of the Product shares depends on the acceptance of the digital assets, the capabilities and development of blockchain technologies and the fundamental investment characteristics of the digital asset. Digital asset networks are developed by a diverse set of contributors and the perception that certain high-profile contributors will no longer contribute to the network could have an adverse effect on the market price of the related digital asset.
Digital assets may have concentrated ownership and large sales or distributions by holders of such digital assets could have an adverse effect on the market price of such digital assets.
A substantial direct investment in digital assets may require expensive and sometimes complicated arrangements in connection with the acquisition, security and safekeeping of the digital asset and may involve the payment of substantial acquisition fees from third party facilitators through cash payments of U.S. dollars. Because the value of the shares is correlated with the value of digital asset(s) held by the Product, it is important to understand the investment attributes of, and the market for, the underlying digital asset. Please consult with your financial professional.
The Products rely on third party service providers to perform certain functions essential to the affairs of the Product and the replacement of such service providers could pose a challenge to the safekeeping of the digital asset and to the operations of the Products.
Canary does not store, hold, or maintain custody or control of any Product’s digital assets, but instead has entered into a Custodian Agreement on behalf of each Product with a third party custodian to facilitate the security of each Product’s digital assets. The custodian controls and secures each Product’s digital asset account, a segregated custody account to store private keys, which allow for the transfer of ownership or control of the digital asset, on each Product’s behalf. If the custodian resigns or is removed by Canary or otherwise, without replacement, it could trigger early termination of such Product.
