Teucrium Commodity Trust 10-K

Item 9A. Controls and Procedures Disclosure Controls and Procedures The Trust and each Fund maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Trust’s periodic reports filed or submitted under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) is recorded, processed, summarized and reported within the time period specified in the SEC’s rules and forms for the Trust and each Fund thereof. Management of the Sponsor of the Funds (“Management”), including Sal Gilbertie the Sponsor’s Principal Executive Officer and Cory Mullen-Rusin, the Sponsor’s Principal Financial Officer, who perform functions equivalent to those of a principal executive officer and principal financial officer of the Trust if the Trust had any officers, have evaluated the effectiveness of the design and operation of the Trust’s and each Fund’s disclosure controls and procedures (as defined in Rule 13a-15(e) or 15d-15(e) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) as of the end of the period covered by this report, and, based upon that evaluation, concluded that the Trust’s and each Fund’s disclosure controls and procedures were effective as of the end of such period, to ensure that information the Trust is required to disclose in the reports that it files or submits with the SEC under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms, and to ensure that information required to be disclosed by the Trust in the reports that it files or submits under the Exchange Act is accumulated and communicated to management of the Sponsor, as appropriate, to allow timely decisions regarding required disclosure. The scope of the evaluation of the effectiveness of the design and operation of its disclosure controls and procedures covers the Trust, as well as separately for each Fund that is a series of the Trust. The certifications of the Chief Executive Officer and Chief Financial Officer are applicable to each Fund individually as well as the Trust as a whole. Management’s Annual Report on Internal Control over Financial Reporting Management of the Sponsor, on behalf of the Trust and each Fund are responsible for establishing and maintaining adequate internal control over financial reporting. The Trust and each Fund’s internal control system is designed to provide reasonable assurance to the Sponsor regarding the preparation and fair presentation of published financial statements. All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation. Management of the Sponsor, including Sal Gilbertie, Principal Executive Officer of the Sponsor, and Cory Mullen-Rusin, Principal Financial Officer of the Sponsor, who perform functions equivalent to those of a principal executive officer and principal financial officer of the Trust if the Trust had any officers, assessed the effectiveness of the Trust’s and each Fund’s internal control over financial reporting as of December 31, 2021. In making this assessment, it used the criteria in the Internal Control - Integrated framework issued by the Committee of Sponsoring Organizations of the Treadway Commission in 2013 . Based on the assessment, Management believes that, as of December 31, 2021, the internal control over financial reporting is effective for the Trust and each Fund thereof. Changes in Internal Control over Financial Reporting There has been no change in the Trust’s or the Funds’ internal controls over the financial reporting (as defined in the Rules 13a-15(f) and 15d-15(f) of the Exchange Act) that occurred during the Trust’s last fiscal year that has materially affected, or is reasonably likely to materially affect, the Trust’s or the Funds’ internal control over financial reporting. Item 9B. Other Information Not applicable. 85 Table of Contents PART III Item 10. Directors and Executive Officers of the Registrant The Trust has no directors, officers or employees and is managed by the Sponsor, Teucrium Trading, LLC. The Sponsor is managed by the officers of the Sponsor under its Limited Liability Company Agreement. A discussion concerning the officers of the Sponsor is incorporated herein under Item 1 of this report. Code of Ethics The Sponsor has adopted a Code of Business Conduct and Ethics (the “Code of Ethics”) which applies to all of its officers (including senior financial officers) and employees; the Sponsor’s Code of Ethics covers all officers and employees that manage the Trust and the Funds. A printed copy of the Code of Ethics is available to any person free of charge, upon request, by contacting the Sponsor at: Teucrium Trading, LLC Three Main Street Suite 215 Burlington, Vermont 05401 Phone: (802) 540-0019 Section 16(a) Beneficial Ownership Reporting Compliance Section 16(a) of the Exchange Act requires directors and executive officers of the Sponsor and persons who are beneficial owners of at least 10% a Fund’s Shares to file with the SEC an Initial Statement of Beneficial Ownership of Securities on Form 3 within ten calendar days of first becoming a director, executive officer or beneficial owner of at least 10% of a Fund’s Shares and a Statement of Changes in Beneficial Ownership of Securities on Form 4 within two business days of a subsequent acquisition or disposition of Shares of a Fund and, unless all reportable transactions were previously reported on Form 3 or Form 4, an Annual Statement of Changes in Beneficial Ownership of Securities on Form 5 within 45 days after the Trust’s fiscal year-end. For the year ended December 31, 2021, based solely on a review of the Section 16(a) reports furnished to the Trust and written representation by the Trust’s Section 16(a) reporting persons, to the best knowledge of the Sponsor, all such filings have been made within these prescribed timeframes. Item 11. Executive Compensation The Trust does not directly compensate any of the executive officers of the Sponsor. The executive officers of the Sponsor are compensated by the Sponsor for the work they perform on behalf of the Trust. The Trust does not set the amount or form of any portion of the compensation paid to the executive officers by the Sponsor. Each of the series of the Trust, except for TAGS, is obligated to pay a management fee to the Sponsor at an annualized rate of 1.00% of average daily net assets. The Sponsor has the right to elect to waive the management fee for any Fund; that election may be changed by the Sponsor. For 2021, the Funds recognized $3,246,117 in management fees to the Sponsor. In addition to the management fee, each Fund reimburses the Sponsor for expenses related to the operation of the Fund. These related party expenses are discussed in the Notes to the Financial Statements for the Trust and each Fund in Part II of this filing. Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters a. Security Ownership of Certain Beneficial Owners. The following table sets forth information with respect to each person known to own beneficially more than 5% of the outstanding shares of any series in the Trust as of December 31, 2021, based on information known to the Sponsor. (1) Title of Class (2) Name and Address of Beneficial Ownership (3) Amount and Nature of Beneficial Ownership (4) Percent Class SOYB REY-JEN CHEN AND ANGELA TZU MEI CHEN, VANCOUVER, CANADA 100,000 (1) 5.06% SOYB SUSQUEHANNA SECURITIES LLC, BALA CYNWYD, PA 242,182 (1) 12.26% SOYB TEUCRIUM AGRICULTURAL FUND, BURLINGTON, VT 155,374 (1) 7.87% TAGS CITIBANK PRIVATE BANK NA, NEW YORK, NY 51,500 (1) 9.81% CANE TEUCRIUM AGRICULTURAL FUND, BURLINGTON, VT 389,317 (1) 15.73% CANE KOREA SECURITIES DEPOSITORY, BUSAN, KOREA 144,804 (1) 5.85% (1) These individuals and entities have not filed any public reports with the SEC. 86 Table of Contents b. Security Ownership of Management The following table sets forth information regarding the beneficial ownership of shares by the executive officers of the Sponsor as of December 31, 2021. Except as listed, no other executive officer of the Sponsor is a beneficial owner of shares of any series of the Trust. (1) Title of Class (2) Name of Beneficial Owner (3) Amount and nature of Beneficial Ownership (4) Percent of Class CORN Sal Gilbertie 701 common units * SOYB Sal Gilbertie 100 common units * CANE Sal Gilbertie 500 common units * WEAT Sal Gilbertie 200 common units * TAGS Sal Gilbertie 2,300 common units * * Less than 1%. c. Change in Control. Neither the Sponsor nor the Trustee knows of any arrangements which may subsequently result in a change in the control of the Trust. Item 13. Certain Relationships and Related Transactions and Director Independence Neither the Trust or the Funds entered into any transaction in excess of $120,000 in which any related person had a direct or indirect material interest and the Trust and the Funds do not propose to enter into any such transaction. Item 14. Principal Accountant and Audit Fees and Services Fees paid for services performed by Grant Thornton and PricewaterhouseCoopers, for the years ended December 31, 2021 and December 31, 2020 were: Year Ended Year Ended December 31, 2021 December 31, 2020 Audit Fees $ 455,700 $ 480,900 Tax Fees $ 536,835 $ 435,230 The Sponsor approved all services provided by Grant Thornton and PricewaterhouseCoopers, above. The Sponsor preapproves all audit, non-audit, tax preparation, and tax accounting services, if any, of the Trust’s independent registered public accounting firm and tax accounting firm, including all engagement fees and terms. 87 Table of Contents PART IV Item 15. Exhibits and Financial Statements Schedules The following exhibits are filed as part of this report as required under Item 601 of Regulation S-K: 3.1 Fifth Amended and Restated Declaration of Trust and Trust Agreement of the Registrant. (1) 3.2 Certificate of Trust of the Registrant. (2) 3.3 Instrument Establishing Teucrium Sugar Fund, Teucrium Wheat Fund, Teucrium Soybean Fund, Teucrium Natural Gas Fund and Teucrium WTI Crude Oil Fund. (3) 3.4 Instrument Establishing Teucrium Agricultural Fund (4) 10.1 Form of Authorized Purchaser Agreement. (9) 10.2 Distribution Services Agreement. (5) 10.3 Amended and Restated Distribution Services Agreement. (6) 10.4 Amendment to Amended and Restated Distribution Services Agreement. (7) 10.5 Second Amendment to Amended and Restated Distribution Services Agreement (8) 10.6 Third Amendment to Amended and Restated Distribution Services Agreement (10) 10.7 Fourth Amendment to Amended and Restated Distribution Services Agreement (11) 10.8 Fifth Amendment to Amended and Restated Distribution Services Agreement (13) 10.9 Custody Agreement. (12) 10.10 First Amendment to the Custody Agreement (14) 10.11 Fund Accounting Servicing Agreement (12) 10.12 First Amendment to the Accounting Servicing Agreement (14) 10.13 Transfer Agent Servicing Agreement (12) 10.14 First Amendment to the Transfer Agent Servicing Agreement (14) 10.15 Fund Administration Servicing Agreement (12) 10.16 First Amendment to the Fund Administration Servicing Agreement (14) 31.1 Certification by the Principal Executive Officer of the Registrant pursuant to Rules 13a-14 and 15d-14 of the Exchange Act.(15) 31.2 Certification by the Principal Financial Officer of the Registrant pursuant to Rules 13a-14 and 15d-14 of the Exchange Act. (15) 32.1 Certification by the Principal Executive Officer of the Registrant pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (15) 32.2 Certification by the Principal Financial Officer of the Registrant pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (15) 88 Table of Contents 101.INS XBRL Instance Document (15) 101.SCH XBRL Taxonomy Extension Schema (15) 101.CAL XBRL Taxonomy Extension Calculation Linkbase (15) 101.DEF XBRL Taxonomy Definition Linkbase (15) 101.LAB XBRL Taxonomy Extension Label Linkbase (15) 101.PRE XBRL Taxonomy Extension Presentation Linkbase (15) (1) Previously filed as like-numbered exhibit to Pre-Effective Amendment No. 2 to Registration Statement No. 333-230623, filed on April 26, 2019 and incorporated by reference herein. (2) Previously filed as like-numbered exhibit to Registration Statement No. 333-162033, filed on September 21, 2009 and incorporated by reference herein. (3) Previously filed as like-numbered exhibit to Pre-Effective Amendment No. 1 to Registration Statement No. 333-167590, filed on March 9, 2011 and incorporated by reference herein. (4) Previously filed as Exhibit 3.3 to Registration Statement No. 333-173691, filed on April 25, 2011 and incorporated by reference herein. (5) Previously filed as Exhibit 10.2 to Post-Effective Amendment No. 1 to Registration Statement No. 333-162033, filed on October 22, 2010 and incorporated by reference herein. (6) Previously filed as Exhibit 10.2(1) to Registrant’s Current Report on Form 8-K for the Teucrium Corn Fund, filed on November 1, 2011 and incorporated herein by reference. (7) Previously filed as Exhibit 10.2(2) to Registrant’s Current Report on Form 8-K for the Teucrium Corn Fund, filed on November 1, 2011 and incorporated by reference herein. (8) Previously filed as Exhibit 10.2(3) to Registrant’s Current Report on Form 8-K for the Teucrium Corn Fund, filed on November 1, 2011 and incorporated by reference herein. (9) Previously filed as like-numbered exhibit to Pre-Effective Amendment No. 1 to Registration Statement No. 333-173691, filed on December 5, 2011. (10) Previously filed as Exhibit 10.5 to Pre-Effective Amendment No.1 to Registration Statement No. 333-187463, filed on April 26, 2013. (11) Previously filed as Exhibit to 10.9 to Registration Statement No. 333-201953, filed on February 9, 2015 and incorporated by reference herein. (12) Previously filed as like-numbered exhibit to Registrant’s Report on Form 10-K for the fiscal year ended December 31, 2015, filed on March 16, 2016. (13) Previously filed as Exhibit 10.1 to the Registrant’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2021, filed on March 10, 2021, and incorporated by reference herein. (14) Previously filed as like-numbered exhibit to Registrant's Report on Form 10-K for the fiscal year ended December 31, 2020, filed on March 16, 2021. (15) Filed herein. 89 Table of Contents TEUCRIUM COMMODITY TRUST FINANCIAL STATEMENTS AS OF DECEMBER 31, 2021 Index to Financial Statements Documents Page TEUCRIUM COMMODITY TRUST Report of Independent Registered Public Accounting Firm (PCAOB # 248 ) F-2 Combined Statements of Assets and Liabilities at December 31, 2021 and 2020 F-3 Combined Schedules of Investments at December 31, 2021 and 2020 F-4 Combined Statements of Operations for the years ended December 31, 2021, 2020 and 2019 F-6 Combined Statements of Changes in Net Assets for the years ended December 31, 2021, 2020 and 2019 F-7 Combined Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019 F-8 Notes to Combined Financial Statements F-9 TEUCRIUM CORN FUND Report of Independent Registered Public Accounting Firm (PCAOB # 248 ) F-23 Statements of Assets and Liabilities at December 31, 2021 and 2020 F-24 Schedules of Investments at December 31, 2021 and 2020 F-25 Statements of Operations for the years ended December 31, 2021, 2020 and 2019 F-27 Statements of Changes in Net Assets for the years ended December 31, 2021, 2020 and 2019 F-28 Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019 F-29 Notes to Financial Statements F-30 TEUCRIUM SOYBEAN FUND Report of Independent Registered Public Accounting Firm (PCAOB # 248 ) F-42 Statements of Assets and Liabilities at December 31, 2021 and 2020 F-43 Schedules of Investments at December 31, 2021 and 2020 F-44 Statements of Operations for the years ended December 31, 2021, 2020 and 2019 F-46 Statements of Changes in Net Assets for the years ended December 31, 2021, 2020 and 2019 F-47 Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019 F-48 Notes to Financial Statements F-49 TEUCRIUM SUGAR FUND Report of Independent Registered Public Accounting Firm (PCAOB # 248 ) F-61 Statements of Assets and Liabilities at December 31, 2021 and 2020 F-62 Schedules of Investments at December 31, 2021 and 2020 F-63 Statements of Operations for the years ended December 31, 2021, 2020 and 2019 F-65 Statements of Changes in Net Assets for the years ended December 31, 2021, 2020 and 2019 F-66 Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019 F-67 Notes to Financial Statements F-68 TEUCRIUM WHEAT FUND Report of Independent Registered Public Accounting Firm (PCAOB # 248 ) F-80 Statements of Assets and Liabilities at December 31, 2021 and 2020 F-81 Schedules of Investments at December 31, 2021 and 2020 F-82 Statements of Operations for the years ended December 31, 2021, 2020 and 2019 F-84 Statements of Changes in Net Assets for the years ended December 31, 2021, 2020 and 2019 F-85 Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019 F-86 Notes to Financial Statements F-87 TEUCRIUM AGRICULTURAL FUND Report of Independent Registered Public Accounting Firm (PCAOB # 248 ) F-99 Statements of Assets and Liabilities at December 31, 2021 and 2020 F-100 Schedules of Investments at December 31, 2021 and 2020 F-101 Statements of Operations for the years ended December 31, 2021, 2020 and 2019 F-103 Statements of Changes in Net Assets for the years ended December 31, 2021, 2020 and 2019 F-104 Statements of Cash Flows for the years ended December 31, 2021, 2020 and 2019 F-105 Notes to Financial Statements F-106 F-1 Table of Contents GRANT THORNTON LLP 757 Third Ave., 9th Floor New York, NY 10017 D +1 212 599 0100 F +1 212 370 4520 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Sponsor and Shareholders of Teucrium Commodity Trust Opinion on the financial statements We have audited the accompanying combined statements of assets and liabilities, including the combined schedules of investments, of Teucrium Commodity Trust (a Delaware statutory Trust) (the “Trust”) as of December 31, 2021 and 2020, the related combined statements of operations, changes in net assets, and cash flows for each of the three years in the period ended December 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Trust as of December 31, 2021 and 2020, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2021, in conformity with accounting principles generally accepted in the United States of America. Basis for opinion These financial statements are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Trust’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical audit matters Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters. /s/ GRANT THORNTON LLP We have served as the Trust’s auditor since 2014. New York, New York March 16, 2022 GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms are separate legal entities and are not a worldwide partnership. F-2 Table of Contents TEUCRIUM COMMODITY TRUST COMBINED STATEMENTS OF ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Assets Cash and cash equivalents $ 252,211,943 $ 309,378,295 Interest receivable 16,982 16,982 Other assets 1,000 38 Capital shares receivable - 307,830 Equity in trading accounts: Commodity futures contracts 13,415,301 42,424,697 Due from broker 613,126 - Total equity in trading accounts 14,028,427 42,424,697 Total assets $ 266,258,352 $ 352,127,842 Liabilities Management fee payable to Sponsor $ 227,779 $ 264,709 Payable for purchases of commercial paper - 9,995,298 Other liabilities 129,453 71,568 Payable for Shares redeemed - 4,404,915 Equity in trading accounts: Commodity futures contracts 735,475 - Due to broker 888,877 27,278,158 Total equity in trading accounts 1,624,352 27,278,158 Total liabilities 1,981,584 42,014,648 Net Assets $ 264,276,768 $ 310,113,194 The accompanying notes are an integral part of these financial statements. F-3 Table of Contents TEUCRIUM COMMODITY TRUST COMBINED SCHEDULE OF INVESTMENTS December 31, 2021 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.026% (cost $30,443,449) $ 30,443,449 11.52 % 30,443,449 Goldman Sachs Financial Square Government Fund - Institutional Class 0.030% (cost $2,525,384) 2,525,384 0.96 2,525,384 Total money market funds $ 32,968,833 12.48 % Principal Amount Commercial Paper Albemarle Corporation 0.181% (cost: $9,996,324 due 01/31/2022) $ 9,998,489 3.78 % 10,000,000 Albemarle Corporation 0.200% (cost: $4,998,834 due 01/11/2022) 4,999,722 1.89 5,000,000 Brookfield Infrastructure Holdings (Canada) Inc. 0.170% (cost: $2,499,021 due 01/25/2022) 2,499,717 0.95 2,500,000 Conagra Brands, Inc. 0.160% (cost: $7,497,300 due 01/05/2022) 7,499,867 2.84 7,500,000 Conagra Brands, Inc. 0.150% (cost: $4,998,710 due 01/18/2022) 4,999,646 1.89 5,000,000 General Motors Financial Company, Inc. 0.160% (cost: $4,998,000 due 01/06/2022) 4,999,889 1.89 5,000,000 General Motors Financial Company, Inc. 0.200% (cost: $9,995,111 due 01/31/2022) 9,998,333 3.78 10,000,000 General Motors Financial Company, Inc. 0.160% (cost: $4,998,800 due 01/03/2022) 4,999,956 1.89 5,000,000 Harley-Davidson Financial Services, Inc. 0.167% (cost: $9,996,061 due 01/13/2022) 9,999,444 3.78 10,000,000 Harley-Davidson Financial Services, Inc. 0.170% (cost: $4,997,876 due 02/01/2022) 4,999,268 1.89 5,000,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $4,997,328 due 03/02/2022) 4,997,918 1.89 5,000,000 Humana Inc. 0.140% (cost: $4,998,425 due 01/07/2022) 4,999,883 1.89 5,000,000 Jabil Inc. 0.250% (cost: $2,499,219 due 01/20/2022) 2,499,670 0.95 2,500,000 Jabil Inc. 0.300% (cost: $7,496,063 due 02/08/2022) 7,497,625 2.84 7,500,000 Jabil Inc. 0.310% (cost: $4,996,900 due 02/25/2022) 4,997,632 1.89 5,000,000 Viatris Inc. 0.250% (cost: $4,997,466 due 02/11/2022) 4,998,577 1.89 5,000,000 Viatris Inc. 0.300% (cost: $4,996,625 due 02/11/2022) 4,998,292 1.89 5,000,000 Viatris Inc. 0.310% (cost: $4,996,986 due 03/01/2022) 4,997,460 1.89 5,000,000 Viatris Inc. 0.200% (cost: $4,998,584 due 01/21/2022) 4,999,444 1.89 5,000,000 WGL Holdings, Inc. 0.220% (cost: $4,998,686 due 01/12/2022) 4,999,664 1.89 5,000,000 WGL Holdings, Inc. 0.187% (cost: $4,998,700 due 01/06/2022) 4,999,870 1.89 5,000,000 Total Commercial Paper (total cost: $119,951,019) $ 119,980,366 45.38 % Total Cash Equivalents $ 152,949,199 57.86 % Notional Amount (Long Exposure) Commodity futures contracts United States corn futures contracts CBOT corn futures MAY22 (1,418 contracts) $ 3,767,282 1.43 % $ 42,185,500 CBOT corn futures JUL22 (1,218 contracts) 196,244 0.07 36,144,150 CBOT corn futures DEC22 (1,558 contracts) 1,973,026 0.75 42,533,400 United States soybean futures contracts CBOT soybean futures MAR22 (234 contracts) 591,547 0.22 15,669,225 CBOT soybean futures MAY22 (199 contracts) 1,008,504 0.38 13,422,550 CBOT soybean futures NOV22 (250 contracts) 1,084,800 0.41 15,865,625 United States sugar futures contracts ICE sugar futures MAY22 (381 contracts) 225,299 0.09 7,936,992 ICE sugar futures MAR23 (392 contracts) 853,927 0.32 8,091,507 United States wheat futures contracts CBOT wheat futures MAY22 (687 contracts) 1,809,796 0.68 26,595,488 CBOT wheat futures DEC22 (686 contracts) 1,904,876 0.72 26,411,000 Total commodity futures contracts $ 13,415,301 5.07 % $ 234,855,437 Description: Liabilities Fair Value Percentage of Net Assets Notional Amount (Long Exposure) Commodity futures contracts United States sugar futures contracts ICE sugar futures JUL22 (331 contracts) $ 80,506 0.03 % $ 6,817,541 United States wheat futures contracts CBOT wheat futures JUL22 (593 contracts) 654,969 0.25 22,667,425 Total commodity futures contracts $ 735,475 0.28 % $ 29,484,966 Exchange-traded funds* Shares Teucrium Corn Fund $ 3,537,560 1.34 % 163,930 Teucrium Soybean Fund 3,538,006 1.34 155,374 Teucrium Sugar Fund 3,591,878 1.36 389,317 Teucrium Wheat Fund 3,510,575 1.33 475,836 Total exchange-traded funds (cost $12,799,498) $ 14,178,019 5.37 % *The Trust eliminates the shares owned by the Teucrium Agricultural Fund from its combined statements of assets and liabilities due to the fact that these represent holdings of the Underlying Funds owned by the Teucrium Agricultural Fund, which are included as shares outstanding of the Underlying Funds. The accompanying notes are an integral part of these financial statements. F-4 Table of Contents TEUCRIUM COMMODITY TRUST COMBINED SCHEDULE OF INVESTMENTS December 31, 2020 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.04% (cost $56,055,737) $ 56,055,737 18.08 % 56,055,737 Blackrock Liquidity FedFund - Institutional Class 0.005% (cost $5,065,941) 5,065,941 1.63 5,065,941 Total money market funds $ 61,121,678 19.71 % Principal Amount Commercial Paper Energy Transfer Operating, L.P. 0.501% (cost: $7,496,667 due 01/29/2021) $ 7,497,084 2.42 % 7,500,000 Energy Transfer Operating, L.P. 0.421% (cost: $4,997,725 due 01/29/2021) 4,998,366 1.61 5,000,000 Energy Transfer Operating, L.P. 0.501% (cost: $7,496,771 due 02/05/2021) 7,496,771 2.42 7,500,000 General Motors Financial Company, Inc. 0.400% (cost: $4,995,890 due 01/04/2021) 4,999,834 1.61 5,000,000 General Motors Financial Company, Inc. 0.411% (cost: $4,996,356 due 01/08/2021) 4,999,602 1.61 5,000,000 General Motors Financial Company, Inc. 0.471% (cost: $7,491,612 due 01/20/2021) 7,498,140 2.42 7,500,000 General Motors Financial Company, Inc. 0.471% (cost: $2,497,062 due 01/25/2021) 2,499,217 0.81 2,500,000 Harley-Davidson Financial Services, Inc. 0.310% (cost: $7,994,903 due 01/05/2021) 7,999,725 2.58 8,000,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $9,993,749 due 01/11/2021) 9,999,305 3.22 10,000,000 Harley-Davidson Financial Services, Inc. 0.270% (cost: $1,999,025 due 01/20/2021) 1,999,715 0.64 2,000,000 Hyundai Capital America, Inc. 0.150% (cost: $7,497,595 due 02/01/2021) 7,499,031 2.42 7,500,000 Hyundai Capital America, Inc. 0.170% (cost: $9,996,980 due 02/03/2021) 9,998,443 3.22 10,000,000 Jabil Inc. 0.430% (cost: $9,994,507 due 01/29/2021) 9,996,656 3.22 10,000,000 Jabil Inc. 0.501% (cost: $7,491,459 due 02/24/2021) 7,494,375 2.42 7,500,000 Jabil Inc. 0.401% (cost: $2,498,528 due 02/26/2021) 2,498,528 0.81 2,500,000 Marathon Petroleum Corporation 0.350% (cost: $7,496,063 due 02/01/2021) 7,497,739 2.42 7,500,000 Marathon Petroleum Corporation 0.381% (cost: $12,490,368 due 02/26/2021) 12,492,610 4.03 12,500,000 Viatris Inc. 0.372% (cost: $9,994,117 due 02/26/2021) 9,994,220 3.22 10,000,000 Viatris Inc. 0.451% (cost: $4,994,438 due 03/22/2021) 4,995,000 1.61 5,000,000 WGL Holdings, Inc. 0.200% (cost: $2,499,528 due 01/26/2021) 2,499,653 0.81 2,500,000 WGL Holdings, Inc. 0.200% (cost: $2,499,417 due 01/27/2021) 2,499,639 0.81 2,500,000 Walgreens Boots Alliance, Inc. 0.246% (cost: $14,993,143 due 03/05/2021) 14,993,553 4.83 15,000,000 Total Commercial Paper (total cost: $152,405,903) $ 152,447,206 49.16 % Total Cash Equivalents $ 213,568,884 68.87 % Notional Amount (Long Exposure) Commodity futures contracts United States corn futures contracts CBOT corn futures MAY21 (2,004 contracts) $ 9,160,307 2.95 % $ 48,421,650 CBOT corn futures JUL21 (1,727 contracts) 4,516,403 1.46 41,469,588 CBOT corn futures DEC21 (2,226 contracts) 6,477,896 2.09 48,387,675 United States soybean futures contracts CBOT soybean futures MAR21 (479 contracts) 7,011,407 2.26 31,398,450 CBOT soybean futures MAY21 (411 contracts) 3,404,313 1.10 26,853,712 CBOT soybean futures NOV21 (557 contracts) 4,708,506 1.52 30,962,238 United States sugar futures contracts ICE sugar futures MAY21 (272 contracts) 550,868 0.18 4,472,115 ICE sugar futures JUL21 (241 contracts) 345,612 0.11 3,830,165 ICE sugar futures MAR22 (279 contracts) 511,223 0.16 4,459,090 United States wheat futures contracts CBOT wheat futures MAY21 (765 contracts) 2,297,658 0.74 24,460,875 CBOT wheat futures JUL21 (668 contracts) 687,506 0.22 20,983,550 CBOT wheat futures DEC21 (767 contracts) 2,752,998 0.89 24,419,363 Total commodity futures contracts $ 42,424,697 13.68 % $ 310,118,471 Description: Liabilities Fair Value Percentage of Net Assets Notional Amount (Long Exposure) Exchange-traded funds* Shares Teucrium Corn Fund $ 401,787 0.13 % 25,858 Teucrium Soybean Fund 401,177 0.13 20,581 Teucrium Sugar Fund 383,816 0.12 57,124 Teucrium Wheat Fund 395,482 0.13 64,237 Total exchange-traded funds (cost $1,586,899) $ 1,582,262 0.51 % *The Trust eliminates the shares owned by the Teucrium Agricultural Fund from its combined statements of assets and liabilities due to the fact that these represent holdings of the Underlying Funds owned by the Teucrium Agricultural Fund, which are included as shares outstanding of the Underlying Funds. The accompanying notes are an integral part of these financial statements. F-5 Table of Contents TEUCRIUM COMMODITY TRUST COMBINED STATEMENTS OF OPERATIONS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Income Realized and unrealized gain (loss) on trading of commodity futures contracts: Realized gain (loss) on commodity futures contracts $ 117,839,481 $ 25,091,898 $ ( 19,460,504 ) Net change in unrealized (depreciation) appreciation on commodity futures contracts ( 29,744,871 ) 35,293,415 11,931,134 Interest income 541,938 1,350,681 4,081,233 Total income (loss) 88,636,548 61,735,994 ( 3,448,137 ) Expenses Management fees 3,246,117 2,185,437 1,674,357 Professional fees 1,089,756 1,266,367 1,191,133 Distribution and marketing fees 3,281,450 2,826,548 2,632,221 Custodian fees and expenses 363,000 369,293 351,514 Business permits and licenses fees 123,465 213,173 103,438 General and administrative expenses 301,580 297,679 250,644 Brokerage commissions - - 41,273 Other expenses 17 2,811 24,204 Total expenses 8,405,385 7,161,308 6,268,784 Expenses waived by the Sponsor ( 2,183,856 ) ( 1,580,551 ) ( 326,705 ) Total expenses, net 6,221,529 5,580,757 5,942,079 Net income (loss) $ 82,415,019 $ 56,155,237 $ ( 9,390,216 ) The accompanying notes are an integral part of these financial statements. F-6 Table of Contents TEUCRIUM COMMODITY TRUST COMBINED STATEMENTS OF CHANGES IN NET ASSETS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Operations Net income (loss) $ 82,415,019 $ 56,155,237 $ ( 9,390,216 ) Capital transactions Issuance of Shares 176,346,175 305,719,849 70,773,761 Redemption of Shares ( 293,409,949 ) ( 219,645,122 ) ( 43,731,253 ) Net change in the cost of the Underlying Funds ( 11,187,671 ) ( 23,367 ) 3,145 Total capital transactions ( 128,251,445 ) 86,051,360 27,045,653 Net change in net assets ( 45,836,426 ) 142,206,597 17,655,437 Net assets, beginning of period 310,113,194 167,906,597 150,251,160 Net assets, end of period $ 264,276,768 $ 310,113,194 $ 167,906,597 The accompanying notes are an integral part of these financial statements. F-7 Table of Contents TEUCRIUM COMMODITY TRUST COMBINED STATEMENTS OF CASH FLOWS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Cash flows from operating activities: Net income (loss) $ 82,415,019 $ 56,155,237 $ ( 9,390,216 ) Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: Net change in unrealized (appreciation) depreciation on commodity futures contracts 29,744,871 ( 35,293,415 ) ( 11,931,134 ) Changes in operating assets and liabilities: Due from broker ( 613,126 ) 4,252 10,968,023 Interest receivable - ( 16,732 ) ( 137 ) Other assets ( 962 ) 9,681 14,736 Due to broker ( 26,389,281 ) 22,138,032 5,140,126 Management fee payable to Sponsor ( 36,930 ) 122,811 6,635 Payable for purchases of commercial paper ( 9,995,298 ) 9,995,298 ( 14,951,548 ) Other liabilities 57,885 32,801 ( 70,575 ) Net cash provided by (used in) operating activities 75,182,178 53,147,965 ( 20,214,090 ) Cash flows from financing activities: Proceeds from sale of Shares 176,654,005 305,412,019 70,773,761 Redemption of Shares ( 297,814,864 ) ( 215,240,207 ) ( 43,731,253 ) Net change in cost of the Underlying Funds ( 11,187,671 ) ( 23,367 ) 3,145 Net cash (used in) provided by financing activities ( 132,348,530 ) 90,148,445 27,045,653 Net change in cash and cash equivalents ( 57,166,352 ) 143,296,410 6,831,563 Cash and cash equivalents, beginning of period 309,378,295 166,081,885 159,250,322 Cash and cash equivalents, end of period $ 252,211,943 $ 309,378,295 $ 166,081,885 The accompanying notes are an integral part of these financial statements. F-8 Table of Contents NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 1 - Organization and Operation Teucrium Commodity Trust (“Trust”), a Delaware statutory trust organized on September 11, 2009, is a series trust consisting of five series: Teucrium Corn Fund (“CORN”), Teucrium Sugar Fund (“CANE”), Teucrium Soybean Fund (“SOYB”), Teucrium Wheat Fund (“WEAT”), and Teucrium Agricultural Fund (“TAGS”) . All these series of the Trust are collectively referred to as the “Funds” and singularly as the “Fund.” Each Fund is a commodity pool that is a series of the Trust. The Funds issue common units, called the “Shares,” representing fractional undivided beneficial interests in a Fund. The Trust and the Funds operate pursuant to the Trust’s Fifth Amended and Restated Declaration of Trust and Trust Agreement (the “Trust Agreement”). On June 7, 2010, the initial Form S-1 for CORN was declared effective by the U.S. Securities and Exchange Commission (“SEC”). On June 8, 2010, four Creation Baskets for CORN were issued representing 200,000 shares and $ 5,000,000 . CORN began trading on the New York Stock Exchange (“NYSE”) Arca on June 9, 2010. The current registration statement for CORN was declared effective by the SEC on October 2, 2020. The registration statement for CORN registered an additional 20,000,000 shares. On June 13, 2011, the initial Forms S-1 for CANE, SOYB, and WEAT were declared effective by the SEC. On September 16, 2011, two Creation Baskets were issued for each Fund, representing 100,000 shares and $ 2,500,000 , for CANE, SOYB, and WEAT. On September 19, 2011, CANE, SOYB, and WEAT started trading on the NYSE Arca. The current registration statements for CANE was declared effective on October 2, 2020 and SOYB were declared effective by the SEC on August 24, 2020. The registration statements for SOYB and CANE registered an additional 15,000,000 shares each. The current registration statement for WEAT was declared effective on April 29, 2019. This registration statement for WEAT registered an additional 30,000,000 shares. On February 10, 2012, the Form S-1 for TAGS was declared effective by the SEC. On March 27, 2012, six Creation Baskets for TAGS were issued representing 300,000 shares and $ 15,000,000 . TAGS began trading on the NYSE Arca on March 28, 2012. The current registration statement for TAGS was declared effective by the SEC on April 30, 2018. Teucrium Trading, LLC is the sponsor (“Sponsor”) of the Trust. The Sponsor is a member of the National Futures Association (the “NFA”) and became a commodity pool operator (“CPO”) registered with the Commodity Futures Trading Commission (the “CFTC”) effective November 10, 2009. The Sponsor registered as a Commodity Trading Advisor (“CTA”) with the CFTC effective September 8, 2017. The specific investment objective of each Fund and information regarding the organization and operation of each Fund are included in each Fund’s financial statements and accompanying notes, as well as in other sections of this Form 10-K filing. In general, the investment objective of each Fund is to have the daily changes in the Net Asset Value (“NAV”) of each Fund’s shares reflect the daily changes in the specified commodity market for future delivery as measured by the Benchmark. The investment objective of TAGS is to have the daily changes in percentage terms of NAV of its Shares reflect the daily changes in percentage terms of a weighted average (the “Underlying Fund Average”) of the NAVs per share of four other commodity pools that are series of the Trust and are sponsored by the Sponsor: CORN, WEAT, SOYB, and CANE (collectively, the “Underlying Funds”). The Underlying Fund Average will have a weighting of 25% to each Underlying Fund, and the Fund’s assets will be rebalanced to maintain the approximate 25% allocation to each Underlying Fund. Subject to the terms of the Trust Agreement, Teucrium Trading, LLC in its capacity as the Sponsor (“Sponsor”) may terminate a Fund at any time, regardless of whether the Fund has incurred losses, including, for instance, if it determines that the Fund’s aggregate net assets in relation to its operating expenses make the continued operation of the Fund unreasonable or imprudent. However, no level of losses will require the Sponsor to terminate a Fund. F-9 Table of Contents Note 2 - Principal Contracts and Agreements The Sponsor employs U.S. Bank N.A. as the Custodian for the Funds. The principal business address for U.S. Bank N.A is 1555 North Rivercenter Drive, Suite 302, Milwaukee, Wisconsin 53212. U.S. Bank N.A. is a Wisconsin state-chartered bank subject to regulation by the Board of Governors of the Federal Reserve System and the Wisconsin State Banking Department. The principal address for U.S. Bancorp Fund Services, LLC doing business as U.S. Bank Global Fund Services (“Global Fund Services”) is 615 E. Michigan Street, Milwaukee, WI 53202. In addition, effective on the Conversion Date, Global Fund Services, a wholly owned subsidiary of U.S. Bank, commenced serving as administrator for each Fund, performing certain administrative, accounting services, and preparing certain SEC reports on behalf of the Funds, and also became the registrar and transfer agent for each Fund’s Shares. For such services, U.S. Bank and Global Fund Services will receive an asset-based fee, subject to a minimum annual fee. For custody services, the Funds will pay to U.S. Bank N.A. 0.0075% of average gross assets up to $1 billion, and 0.0050% of average gross assets over $1 billion, annually, plus certain per-transaction charges. For Transfer Agency, Fund Accounting and Fund Administration services, which are based on the total assets for all the Funds in the Trust, the Funds will pay to Global Fund Services 0.05% of average gross assets on the first $500 million, 0.04% on the next $500 million, 0.03% on the next $2 billion, and 0.02% on the balance over $3 billion annually. A combined minimum annual fee of up to $47,000 for custody, transfer agency, accounting and administrative services is assessed per Fund. These services are recorded in custodian fees and expenses on the combined statements of operations. A summary of these expenses is included below. The Sponsor employs Foreside Fund Services, LLC (“Foreside” or the “Distributor”) as the Distributor for the Funds. The Distribution Services Agreement among the Distributor and the Sponsor calls for the Distributor to work with the Custodian in connection with the receipt and processing of orders for Creation Baskets and Redemption Baskets and the review and approval of all Fund sales literature and advertising materials. The Distributor and the Sponsor have also entered into a Securities Activities and Service Agreement (the “SASA”) under which certain employees and officers of the Sponsor are licensed as registered representatives or registered principals of the Distributor, under Financial Industry Regulatory Authority (“FINRA”) rules. For its services as the Distributor, Foreside receives a fee of 0.01% of the Fund’s average daily net assets and an aggregate annual fee of $100,000 for all Teucrium Funds, along with certain expense reimbursements. For its services under the SASA, Foreside receives a fee of $5,000 per registered representative and $1,000 per registered location. These services are recorded in distribution and marketing fees on the combined statements of operations. A summary of these expenses is included below. Pursuant to a Consulting Services Agreement, Foreside Consulting Services, LLC, performs certain consulting support services for the Trust’s Sponsor. Additionally, Foreside Distributors, LLC performs certain distribution consulting services pursuant to a Distribution Consulting Agreement with the Trust’s Sponsor. E D & F Man Capital Markets, Inc. (“E D & F Man”) serves as the Underlying Funds’ clearing broker to execute and clear the Underlying Funds’ futures and provide other brokerage-related services. E D & F Man is registered as an FCM with the U.S. CFTC and is a member of the NFA. E D & F Man is also registered as a broker/dealer with the U.S. Securities and Exchange Commission and is a member of FINRA. E D & F Man is a clearing member of ICE Futures U.S., Inc., Chicago Board of Trade, Chicago Mercantile Exchange, New York Mercantile Exchange, and all other major United States commodity exchanges. For Corn, Soybean, Sugar and Wheat Futures Contracts E D & F Man is paid $9.00 per round turn . Prior to August 21, 2019, these expenses were recorded in brokerage commissions on the combined statements of operations. Beginning on August 21, 2019, these expenses were recognized on a per-trade basis. The half-turn is recognized as an unrealized loss on the combined statements of operations for contracts that have been purchased since the change in recognition, and a full turn is recognized as a realized loss on the combined statements of operations when a contract is sold. A summary of these expenses can be found below under the heading, Brokerage Commissions . The sole Trustee of the Trust is Wilmington Trust Company, a Delaware banking corporation. The Trustee will accept service of legal process on the Trust in the State of Delaware and will make certain filings under the Delaware Statutory Trust Act. For its services, the Trustee receives an annual fee of $3,300 from the Trust. These services are recorded in business permits and licenses fees on the combined statements of operations. A summary of these expenses is included below. F-10 Table of Contents The Sponsor employs Thales Capital Partners LLC (“Thales”) for distribution and solicitation-related services. Thales is registered as a Broker-Dealer with the SEC and a member of Financial Industry Regulatory Authority (FINRA) and SIPC. Thales receives a quarterly fee of $18,750 or 0.10% of new assets raised in referred accounts for distribution and solicitation-related services. This fee based on new assets raised is determined by an agreed upon level of assets at the time of signing the contract. These services are recorded in distribution and marketing fees on the combined statements of operations. A summary of these expenses is included below: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Amount Recognized for Custody Services $ 363,000 $ 369,293 $ 351,514 Amount of Custody Services Waived $ 120,850 $ 71,342 $ 24,397 Amount Recognized for Distribution Services $ 186,531 $ 180,024 $ 161,317 Amount of Distribution Services Waived $ 94,724 $ 68,140 $ 7,770 Amount Recognized for Wilmington Trust $ 3,300 $ 3,300 $ 3,300 Amount of Wilmington Trust Waived $ 991 $ 2,215 $ 243 Amount Recognized for Thales $ 297,222 $ 116,901 $ - Amount of Thales Waived $ 153,198 $ 57,988 $ - Note 3 - Summary of Significant Accounting Policies Basis of Presentation The accompanying financial statements have been prepared on a combined basis in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as detailed in the Financial Accounting Standards Board’s Accounting Standards Codification and include the accounts of the Trust, CORN, CANE, SOYB, WEAT and TAGS. Refer to the accompanying separate financial statements for each Fund for more detailed information. For the periods represented by the financial statements herein the operations of the Trust contain the results of CORN, SOYB, CANE, WEAT, and TAGS except for eliminations for TAGS as explained below for the months during which each Fund was in operation. Given the investment objective of TAGS as described in Note 1 above, TAGS will buy, sell and hold, as part of its normal operations, shares of the four Underlying Funds. The Trust eliminates the shares of the other series of the Trust owned by the Teucrium Agricultural Fund from its combined statements of assets and liabilities. The Trust eliminates the net change in unrealized appreciation or depreciation on securities owned by the Teucrium Agricultural Fund from its combined statements of operations. The combined statements of changes in net assets and cash flows present a net presentation of the purchases and sales of the Underlying Funds of TAGS. Revenue Recognition Commodity futures contracts are recorded on the trade date. All such transactions are recorded on the identified cost basis and marked to market daily. Unrealized appreciation or depreciation on commodity futures contracts are reflected in the statements of assets and liabilities as the difference between the original contract amount and the fair market value as of the last business day of the year or as of the last date of the financial statements. Changes in the appreciation or depreciation between periods are reflected in the statements of operations. The Funds seek to earn interest on its assets denominated in U.S. dollars on deposit with the Futures Commission Merchant. In addition, the Funds seek to earn interest on funds held at the custodian and at other financial institutions at prevailing market rates for such investments. The Sponsor may invest a portion of cash in commercial paper, which is deemed a cash equivalent based on the rating and duration of contracts as described in the notes to the financial statements and reflected in cash and cash equivalents on the combined statements of assets and liabilities and in cash and cash equivalents cash on the combined statements of cash flows. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the combined statements of operations. The Sponsor may invest a portion of the cash held by the broker in short term Treasury Bills as collateral for open futures contracts. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the combined statements of operations. F-11 Table of Contents Brokerage Commissions Beginning on August 21, 2019, the Sponsor began recognizing the expense for brokerage commissions for futures contract trades on a per-trade basis. Prior to the change, brokerage commissions on all open commodity futures contracts were accrued on the trade date and on a full-turn basis. The below table shows the amounts included on the statements of operations as total brokerage commissions paid inclusive of unrealized loss for the years ended December 31, 2021, 2020, and 2019. CORN SOYB CANE WEAT TAGS TRUST Year Ending December 31, 2021 $ 141,674 $ 29,889 $ 21,123 $ 47,448 $ - $ 240,134 Year Ending December 31, 2020 $ 149,619 $ 35,880 $ 14,681 $ 40,741 $ 1 $ 240,922 Year Ending December 31, 2019 $ 81,568 $ 12,219 $ 12,776 $ 41,004 $ - $ 147,567 Income Taxes The Trust is organized and will be operated as a Delaware statutory trust. For federal income tax purposes, each Fund will be treated as a publicly traded partnership. A publicly traded partnership is generally treated as a corporation for federal income tax purposes unless 90% or more of the publicly traded partnership’s gross income for each taxable year of its existence consists of qualifying income as defined in section 7704(d) of the Internal Revenue Code of 1986, as amended. Qualifying income is defined as generally including, in pertinent part, interest (other than from a financial business), dividends, and gains from the sale or disposition of capital assets held for the production of interest or dividends. In the case of a partnership of which a principal activity is the buying and selling of commodities, other than as inventory, or of futures, forwards and options with respect to commodities, qualifying income also includes income and gains from commodities and from futures, forwards, options with respect to commodities and, provided the partnership is a trader or investor with respect to such assets, swaps and other notional principal contracts with respect to commodities. Each Fund expects that at least 90% of the Fund’s gross income for each taxable year will consist of qualifying income and that the Fund will be taxed as a partnership for federal income tax purposes. Therefore, the Funds do not record a provision for income taxes because the shareholders report their share of a Fund’s income or loss on their income tax returns. The financial statements reflect the Funds’ transactions without adjustment, if any, required for income tax purposes. The Funds are required to determine whether a tax position is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The Funds file income tax returns in the U.S. federal jurisdiction and may file income tax returns in various U.S. states and foreign jurisdictions. For all tax years 2018 to 2021, the Funds remain subject to income tax examinations by major taxing authorities. The tax benefit recognized is measured as the largest amount of benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. De-recognition of a tax benefit previously recognized results in the Funds recording a tax liability that reduces net assets. Based on their analysis, the Funds have determined that they have not incurred any liability for unrecognized tax benefits for the years ended December 31, 2021, 2020, 2019, and 2018. However, the Funds’ conclusions regarding this policy may be subject to review and adjustment at a later date based on factors including, but not limited to, ongoing analysis of and changes to tax laws, regulations, and interpretations thereof. The Funds recognize interest accrued related to unrecognized tax benefits and penalties related to unrecognized tax benefits in income tax fees payable, if assessed. No interest expense or penalties have been recognized for the years ending December 31, 2021, 2020, 2019, and 2018. The Funds may be subject to potential examination by U.S. federal, U.S. state, or foreign jurisdictional authorities in the area of income taxes. These potential examinations may include questioning the timing and amount of deductions, the nexus of income among various tax jurisdictions, and compliance with U.S. federal, U.S. state and foreign tax laws. Creations and Redemptions Authorized Purchasers may purchase Creation Baskets from each Fund. The amount of the proceeds required to purchase a Creation Basket will be equal to the NAV of the shares in the Creation Basket determined as of 4:00 p.m. (EST) on the day the order to create the basket is properly received. Authorized Purchasers may redeem shares from each Fund only in blocks of shares called “Redemption Baskets.” The amount of the redemption proceeds for a Redemption Basket will be equal to the NAV of the shares in the Redemption Basket determined as of 4:00 p.m. (EST) on the day the order to redeem the basket is properly received. Each Fund receives or pays the proceeds from shares sold or redeemed within three business days after the trade date of the purchase or redemption. The amounts due from Authorized Purchasers are reflected in the statements of assets and liabilities as capital shares receivable. Amounts payable to Authorized Purchasers upon redemption are reflected in the statements of assets and liabilities as payable for shares redeemed. F-12 Table of Contents Cash and Cash Equivalents Cash equivalents are highly liquid investments with original maturity dates of 90 days or less when acquired. The Trust reported its cash equivalents in the combined statements of assets and liabilities at market value, or at carrying amounts that approximate fair value, because of their highly liquid nature and short-term maturities. Each Fund that is a series of the Trust has the balance of its cash equivalents on deposit with financial institutions. The Trust holds a balance in money market funds that is included in cash and cash equivalents on the combined statements of assets and liabilities. The Sponsor invests a portion of the available cash for the Funds in alternative demand deposit savings accounts, which are classified as cash and not as cash equivalents. Assets deposited with the bank may, at times, exceed federally insured limits. The Sponsor invests a portion of the available cash for the Funds in investment grade commercial paper with durations of 90 days or less, which is classified as a cash equivalent and is not FDIC insured. The Sponsor may invest a portion of the cash held by the FCM in short term Treasury Bills as collateral for open futures contracts, which is classified as a cash equivalent and is not FDIC insured. December 31, 2021 December 31, 2020 December 31, 2019 Money Market Funds $ 32,968,833 $ 61,121,678 $ 3,060 Demand Deposit Savings Accounts 99,262,744 95,809,411 89,552,523 Commercial Paper 119,980,366 152,447,206 69,915,031 Treasury Bills - - 6,611,271 Total cash and cash equivalents as presented on the combined Statement of Assets and Liabilities $ 252,211,943 $ 309,378,295 $ 166,081,885 Payable for Purchases of Commercial Paper The amount recorded by the Trust for commercial paper transactions awaiting settlement, which represents the amount payable for contracts purchased but not yet settled as of the reporting date. The value of the contract is included in cash and cash equivalents, and the payable amount is included as a liability. Due from/to Broker The amount recorded by the Trust for the amount due from and to the clearing broker includes, but is not limited to, cash held by the broker, amounts payable to the clearing broker related to open transactions and payables for commodities futures accounts liquidating to an equity balance on the clearing broker’s records, and amounts of brokerage commissions paid and recognized as unrealized losses. Margin is the minimum amount of funds that must be deposited by a commodity interest trader with the trader’s broker to initiate and maintain an open position in futures contracts. A margin deposit acts to assure the trader’s performance of the futures contracts purchased or sold. Futures contracts are customarily bought and sold on initial margin that represents a relatively small percentage of the aggregate purchase or sales price of the contract. Because of such low margin requirements, price fluctuations occurring in the futures markets may create profits and losses that, in relation to the amount invested, are greater than those in other forms of investment or speculation. As discussed below, adverse price changes in a futures contract may result in margin requirements that greatly exceed the initial margin. In addition, the amount of margin required in connection with a particular futures contract is set from time to time by the exchange on which the contract is traded and may be modified from time to time by the exchange during the term of the contract. Brokerage firms, such as the Funds’ clearing brokers, carrying accounts for traders in commodity interest contracts generally require higher amounts of margin as a matter of policy to further protect themselves. Over the counter trading generally involves the extension of credit between counterparties, so the counterparties may agree to require the posting of collateral by one or both parties to address credit exposure. There are a minimum number of baskets and associated shares specified for each Fund in the Fund’s respective prospectus, as amended from time to time. Once the minimum number of baskets is reached, there can be no more redemptions until there has been a creation basket. These minimum levels are as follows: CORN: 50,000 shares representing 2 baskets SOYB: 50,000 shares representing 2 baskets CANE: 50,000 shares representing 2 baskets WEAT: 50,000 shares representing 2 baskets TAGS: 50,000 shares representing 4 baskets F-13 Table of Contents Payable/Receivable for Securities Purchased/Sold Due from/to broker for investments in securities are securities transactions pending settlement. The Trust and the Funds are subject to credit risk to the extent any broker with whom it conducts business is unable to fulfill contractual obligations on its behalf. The management of the Trust and the Funds monitors the financial condition of such brokers and does not anticipate any losses from these counterparties. The principal broker through which the Trust and TAGS can execute securities transactions for TAGS is U.S. Bank N.A. Sponsor Fee, Allocation of Expenses and Related Party Transactions The Fund’s sponsor, Teucrium Trading, LLC (the “Sponsor”), is responsible for investing the assets of the Funds in accordance with the objectives and policies of each Fund. In addition, the Sponsor arranges for one or more third parties to provide administrative, custodial, accounting, transfer agency and other necessary services to the Trust and the Funds. In addition, the Sponsor elected not to outsource services directly attributable to the Trust and the Funds such as, certain aspects of accounting, financial reporting, regulatory compliance and trading activities. In addition, the Funds, except for TAGS which has no such fee, are contractually obligated to pay a monthly management fee to the Sponsor, based on average daily net assets, at a rate equal to 1.00% per annum. The Funds pay for all brokerage fees, taxes and other expenses, including licensing fees for the use of intellectual property, registration or other fees paid to the SEC, FINRA, formerly the National Association of Securities Dealers, or any other regulatory agency in connection with the offer and sale of subsequent Shares, after its initial registration, and all legal, accounting, printing and other expenses associated therewith. The Funds also pay the fees and expenses associated with the Trust’s tax accounting and reporting requirements. Certain aggregate expenses common to all Funds within the Trust are allocated by the Sponsor to the respective Fund based on activity drivers deemed most appropriate by the Sponsor for such expenses, including but not limited to relative assets under management and creation order activity. These aggregate common expenses include, but are not limited to, legal, auditing, accounting and financial reporting, tax-preparation, regulatory compliance, trading activities, and insurance costs, as well as fees paid to the Distributor, which are included in the related line item in the combined statements of operations. A portion of these aggregate common expenses are related to the Sponsor or related parties of principals of the Sponsor; these are necessary services to the Trust and the Funds, which are primarily the cost of performing accounting and financial reporting, regulatory compliance, and trading activities that are directly attributable to the Trust and the Funds. Such expenses are primarily included as distribution and marketing fees in the financial statements of each Fund. Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Recognized Related Party Transactions $ 2,321,539 $ 2,279,672 $ 1,992,524 Waived Related Party Transactions $ 1,052,715 $ 775,432 $ 137,711 The Sponsor has the ability to elect to pay certain expenses on behalf of the Funds or waive the management fee. This election is subject to change by the Sponsor, at its discretion. Expenses paid by the Sponsor and Management fees waived by the Sponsor are, if applicable, presented as waived expenses in the statements of operations for each Fund. The Sponsor has determined that there would be no recovery sought for the amounts below in any future period. CORN SOYB CANE WEAT TAGS Trust Year Ended December 31, 2021 $ 1,060,261 $ 576,014 $ 134,294 $ 307,565 $ 105,722 $ 2,183,856 Year Ended December 31, 2020 $ 849,396 $ 399,518 $ 210,614 $ 81,190 $ 39,833 $ 1,580,551 Year Ended December 31, 2019 $ 15,639 $ 96,303 $ 171,746 $ 2,500 $ 40,517 $ 326,705 When a trader purchases an option, there is no margin requirement; however, the option premium must be paid in full. When a trader sells an option, on the other hand, he or she is required to deposit margin in an amount determined by the margin requirements established for the underlying interest and, in addition, an amount substantially equal to the current premium for the option. The margin requirements imposed on the selling of options, although adjusted to reflect the probability that out-of-the-money options will not be exercised, can in fact be higher than those imposed in dealing in the futures markets directly. Complicated margin requirements apply to spreads and conversions, which are complex trading strategies in which a trader acquires a mixture of options positions and positions in the underlying interest. Ongoing or “maintenance” margin requirements are computed each day by a trader’s clearing broker. When the market value of a particular open futures contract changes to a point where the margin on deposit does not satisfy maintenance margin requirements, a margin call is made by the broker. If the margin call is not met within a reasonable time, the broker may close out the trader’s position. With respect to the Funds’ trading, the Funds (and not their shareholders personally) are subject to margin calls. Finally, many major U.S. exchanges have passed certain cross margining arrangements involving procedures pursuant to which the futures and options positions held in an account would, in the case of some accounts, be aggregated, and margin requirements would be assessed on a portfolio basis, measuring the total risk of the combined positions. F-14 Table of Contents Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of the revenue and expenses during the reporting period. Actual results could differ from those estimates. Fair Value - Definition and Hierarchy In accordance with U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. In determining fair value, the Trust uses various valuation approaches. In accordance with U.S. GAAP, a fair value hierarchy for inputs is used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Trust. Unobservable inputs reflect the Trust’s assumptions about the inputs market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy is categorized into three levels based on the inputs as follows: Level 1 - Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Trust has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 futures contracts held by CORN, SOYB, CANE and WEAT, the securities of the Underlying Funds held by TAGS, and any other securities held by any Fund, together referenced throughout this filing as “financial instruments.” Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these securities does not entail a significant degree of judgment. Level 2 - Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Level 3 - Valuations based on inputs that are unobservable and significant to the overall fair value measurement. The availability of valuation techniques and observable inputs can vary from financial instrument to financial instrument and is affected by a wide variety of factors including, the type of financial instrument, whether the financial instrument is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a ready market for the financial instruments existed. Accordingly, the degree of judgment exercised by the Fund in determining fair value is greatest for financial instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy, within which the fair value measurement in its entirety falls, is determined based on the lowest level input that is significant to the fair value measurement. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, the Trust’s own assumptions are set to reflect those that market participants would use in pricing the asset or liability at the measurement date. The Trust uses prices and inputs that are current as of the measurement date, including periods of market dislocation. In periods of market dislocation, the observability of prices and inputs may be reduced for many financial instruments. This condition could cause a financial instrument to be reclassified to a lower level within the fair value hierarchy. For instance, when Corn Futures Contracts on the Chicago Board of Trade (“CBOT”) are not actively trading due to a “limit-up” or ‘limit-down” condition, meaning that the change in the Corn Futures Contracts has exceeded the limits established, the Trust and the Fund will revert to alternative verifiable sources of valuation of its assets. When such a situation exists on a quarter close, the Sponsor will calculate the NAV on a particular day using the Level 1 valuation but will later recalculate the NAV for the impacted Fund based upon the valuation inputs from these alternative verifiable sources (Level 2 or Level 3) and will report such NAV in its applicable financial statements and reports. F-15 Table of Contents On December 31, 2021 and 2020, in the opinion of the Trust, the reported value at the close of the market for each commodity contract fairly reflected the value of the futures and no alternative valuations were required. The determination is made as of the settlement of the futures contracts on the last day of trading for the reporting period. In making the determination of a Level 1 or Level 2 transfer, the Funds consider the average volume of the specific underlying futures contracts traded on the relevant exchange for the years being reported. For the quarter ended June 30, 2021, Corn Futures Contracts for the Sep21 CBOT corn futures and the Dec21 CBOT corn futures, settled in a “limit up” condition. Accordingly, the Trust, CORN and TAGS classified these as level 2 assets. The financial statements of CORN including TAGS, due to the NAV adjustment for the Underlying CORN holdings, were adjusted accordingly. The adjustment resulted in an increase in the unrealized change in commodity futures contracts in excess of reported CBOT values of $ 711,275 for CORN. The Corn futures contracts transferred back to a Level 1 asset for the period ended September 30, 2021. For the quarter ended March 31, 2021, Corn Futures Contracts for the Jul21 CBOT corn futures, Sep21 CBOT corn futures, Dec21 CBOT corn futures, Jul21 CBOT soybean futures, and the Nov21 CBOT soybean futures, settled in a “limit up” condition. Accordingly, the Trust, CORN, and SOYB classified these as Level 2 assets. The financial statements of these funds including TAGS, due to the NAV adjustment for each of these Underlying Funds, were adjusted accordingly. The adjustment resulted in an increase in the unrealized change in commodity futures contracts in excess of reported CBOT values of $ 3,371,513 for CORN and $ 279,750 for SOYB. The Soybean futures contracts transferred back to a Level 1 asset for the period ended June 30, 2021, and the Sep21 and Dec21 corn futures contracts remained a Level 2 asset as described above. For the quarter ending June 30, 2020, the DEC21 Wheat Futures Contracts traded on the CBOT did not, in the opinion of the Trust and WEAT, trade in an actively traded futures market as defined in the policy of the Trust and WEAT for the entire period during which they were held. Accordingly, the Trust and WEAT classified these as Level 2 assets. The DEC21 Wheat Contracts were, in the opinion of the Trust and WEAT, fairly valued at settlement on June 30, 2020. The value of these contracts was $ 533,160 , these transferred back to a Level 1 asset for the quarter ending September 30, 2020. The Funds and the Trust record their derivative activities at fair value. Gains and losses from derivative contracts are included in the statements of operations. Derivative contracts include futures contracts related to commodity prices. Futures, which are listed on a national securities exchange, such as the CBOT and the ICE, or reported on another national market, are generally categorized in Level 1 of the fair value hierarchy. OTC derivatives contracts (such as forward and swap contracts), which may be valued using models, depending on whether significant inputs are observable or unobservable, are categorized in Levels 2 or 3 of the fair value hierarchy. Investments in the securities of the Underlying Funds are freely traded and listed on the NYSE Arca. These investments are valued at the NAV of the Underlying Fund as of the valuation date as calculated by the administrator based on the exchange-quoted prices of the commodity futures contracts held by the Underlying Fund. Expenses Expenses are recorded using the accrual method of accounting. New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2021-05: “Leases (Topic 842).” Under the amended guidance, a lessor should classify and account for a lease with variable lease payments that don’t depend on an index or a rate as an operating lease if the lease would’ve been classified as a sales-type lease or a direct financing lease in accordance with the lease classification guidance in Topic 842 and the lessor would’ve otherwise recognized a day-one loss. The amendment was early adopted for the quarter ended September 30, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2020-10: “Codification Improvements.” The amendment improves the disclosure guidance in appropriate Disclosure Sections, without resulting in changes to current GAAP. The amendment was adopted for the quarter ended March 31, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2020-02: “Financial Instruments Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). The amendment updates and adds language to ASU 2016-02. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. F-16 Table of Contents The FASB issued ASU 2020-01: Investments Equity Securities (Topic 321), Investments Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) Clarifying the Interactions between Topic 321, Topic 323, and Topic 815. The amendments clarify the treatment of transactions that require a company to apply or discontinue the equity method of accounting. The amendments were early adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued 2019-07: “Codification Updates to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 3310532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates.” The amendments improve, update, and simplify the SEC’s regulations on financial reporting and disclosure. The amendments were adopted for the quarter ended September 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2019-04: “Codification Improvements to Topic 326, Financial Instruments Credit Losses, Topic 815, Derivatives and hedging, and Topic 825, Financial Instruments.” The amendments clarify and improve areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement, specifically relating to ASU 201712. The amendments were early adopted for the quarter ended June 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2019-01: “Leases (Topic 842): Codification Improvements. These amendments align the guidance for fair value of underlying assets by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2018-13: “Fair Value Measurement (Topic 820): Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement. These amendments modify public and private company fair value disclosure requirements. While some disclosures were removed or modified, others were added. The guidance is a result of the FASB’s test of the principals developed to improve the effectiveness of disclosures in the notes to the financial statements. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2017-13, “Revenue Recognition (Topic 605), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments”. The amendment amends the early adoption date option for certain companies related to adoption of ASU No. 2014-09 and ASU No. 2016-02. The SEC staff stated the SEC would not object to a public business entity that otherwise would not meet the definition of a public business entity except for a requirement to include or the inclusion of its financial statements or financial information in another entity’s filing with the SEC adopting ASC Topic 842 for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities”. These amendments refine and expand hedge accounting for both financial (e.g., interest rate) and commodity risks. Its provisions create more transparency around how economic results are presented, both on the face of the financial statements and in the footnotes. It also makes certain targeted improvements to simplify the application of hedge accounting guidance. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. The FASB issued ASU 2016-02, “Leases (Topic 842).” The amendments in this update increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Funds. F-17 Table of Contents Note 4 - Fair Value Measurements The Trust’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy as described in the Trust’s significant accounting policies in Note 3. The following table presents information about the Trust’s assets and liabilities measured at fair value as of December 31, 2021 and December 31, 2020: December 31, 2021 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Cash Equivalents $ 152,949,199 $ - $ - $ 152,949,199 Commodity Futures Contracts Corn futures contracts 5,936,552 - - 5,936,552 Soybean futures contracts 2,684,851 - - 2,684,851 Sugar futures contracts 1,079,226 - - 1,079,226 Wheat futures contracts 3,714,672 - - 3,714,672 Total $ 166,364,500 $ - $ - $ 166,364,500 Liabilities: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Commodity Futures Contracts Sugar futures contracts 80,506 - - 80,506 Wheat futures contracts 654,969 - - 654,969 Total $ 735,475 $ - $ - $ 735,475 December 31, 2020 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2020 Cash Equivalents $ 213,568,884 $ - $ - $ 213,568,884 Commodity Futures Contracts Corn futures contracts 20,154,606 - - 20,154,606 Soybean futures contracts 15,124,226 - - 15,124,226 Sugar futures contracts 1,407,703 - - 1,407,703 Wheat futures contracts 5,738,162 - - 5,738,162 Total $ 255,993,581 $ - $ - $ 255,993,581 For the years ended December 31, 2021 and 2020, the Funds did not have any significant transfers between any of the levels of the fair value hierarchy. The determination is made as of the settlement of the futures contracts on the last day of trading for the reporting period. In making the determination of a Level 1 or Level 2 transfer, the Fund considers the average volume of the specific underlying futures contracts traded on the relevant exchange for the periods being reported. For the quarter ended June 30, 2021, Corn Futures Contracts for the Sep21 CBOT corn futures and the Dec21 CBOT corn futures, settled in a “limit up” condition. Accordingly, the Trust, CORN and TAGS classified these as level 2 assets. The financial statements of CORN including TAGS, due to the NAV adjustment for the Underlying CORN holdings, were adjusted accordingly. The adjustment resulted in an increase in the unrealized change in commodity futures contracts in excess of reported CBOT values of $ 711,275 for CORN. The Corn futures contracts transferred back to a Level 1 asset for the period ended September 30, 2021. For the quarter ended March 31, 2021, Corn Futures Contracts for the Jul21 CBOT corn futures, Sep21 CBOT corn futures, Dec21 CBOT corn futures, Jul21 CBOT soybean futures, and the Nov21 CBOT soybean futures, settled in a “limit up” condition. Accordingly, the Trust, CORN, and SOYB classified these as Level 2 assets. The financial statements of these funds including TAGS, due to the NAV adjustment for each of these Underlying Funds, were adjusted accordingly. The adjustment resulted in an increase in the unrealized change in commodity futures contracts in excess of reported CBOT values of $ 3,371,513 for CORN and $ 279,750 for SOYB. The Soybean futures contracts transferred back to a Level 1 asset for the period ended June 30, 2021, and the Sep21 and Dec21 corn futures contracts remained a Level 2 asset as described above. F-18 Table of Contents For the quarter ended June 30, 2020, the Dec21 CBOT Wheat Futures Contracts traded on the CBOT did not, in the opinion of the Trust and WEAT, trade in an actively traded futures market as defined in the policy of the Trust and WEAT for the entire period during which they were held. Accordingly, the Trust and WEAT classified these as a Level 2 asset for the period ended June 30, 2020 due to the quarterly average daily volume for the contract. These Wheat contracts transferred back to a Level 1 asset for the period ended September 30, 2020. See the Fair Value - Definition and Hierarchy section in Note 4 above for an explanation of the transfers into and out of each level of the fair value hierarchy. Note 5 - Derivative Instruments and Hedging Activities In the normal course of business, the Funds utilize derivative contracts in connection with its proprietary trading activities. Investments in derivative contracts are subject to additional risks that can result in a loss of all or part of an investment. The Funds’ derivative activities and exposure to derivative contracts are classified by the following primary underlying risks: interest rate, credit, commodity price, and equity price risks. In addition to its primary underlying risks, the Funds are also subject to additional counterparty risk due to inability of its counterparties to meet the terms of their contracts. For the years ended December 31, 2021 and 2020, the Funds invested only in commodity futures contracts specifically related to each Fund. Futures Contracts The Funds are subject to commodity price risk in the normal course of pursuing their investment objectives. A futures contract represents a commitment for the future purchase or sale of an asset at a specified price on a specified date. The purchase and sale of futures contracts requires margin deposits with an FCM. Subsequent payments (variation margin) are made or received by each Fund each day, depending on the daily fluctuations in the value of the contract, and are recorded as unrealized gains or losses by each Fund. Futures contracts may reduce the Funds’ exposure to counterparty risk since futures contracts are exchange-traded; and the exchange’s clearinghouse, as the counterparty to all exchange-traded futures, guarantees the futures against default. The Commodity Exchange Act requires an FCM to segregate all customer transactions and assets from the FCM’s proprietary activities. A customer’s cash and other equity deposited with an FCM are considered commingled with all other customer funds subject to the FCM’s segregation requirements. In the event of an FCM’s insolvency, recovery may be limited to each Fund’s pro rata share of segregated customer funds available. It is possible that the recovery amount could be less than the total of cash and other equity deposited. The following table discloses information about offsetting assets and liabilities presented in the statements of assets and liabilities to enable users of these financial statements to evaluate the effect or potential effect of netting arrangements for recognized assets and liabilities. These recognized assets and liabilities are presented as defined in FASB ASU No. 2011-11 “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and subsequently clarified in FASB ASU 2013-01 “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” The following table also identifies the fair value amounts of derivative instruments included in the statements of assets and liabilities as derivative contracts, categorized by primary underlying risk and held by the FCM, E D & F Man as of December 31, 2021 and 2020. *The amount of collateral presented in Collateral, Due from Broker, is limited to the liability for the futures contracts and accordingly does not include the excess collateral pledged. Offsetting of Financial Assets and Derivative Assets as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Corn futures contracts $ 5,936,552 $ - $ 5,936,552 $ - $ - $ 5,936,552 Soybean futures contracts $ 2,684,851 $ - $ 2,684,851 $ - $ 675,169 $ 2,009,682 Sugar futures contracts $ 1,079,226 $ - $ 1,079,226 $ 80,506 $ - $ 998,720 Wheat futures contracts $ 3,714,672 $ - $ 3,714,672 $ 654,969 $ 213,708 $ 2,845,995 F-19 Table of Contents Offsetting of Financial Liabilities and Derivative Liabilities as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Liabilities Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due from Broker* Net Amoun t Commodity Price Sugar futures contracts $ 80,506 $ - $ 80,506 $ 80,506 $ - $ - Wheat futures contracts $ 654,969 $ - $ 654,969 $ 654,969 $ - $ - Offsetting of Financial Assets and Derivative Assets as of December 31, 2020 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amoun t Commodity Price Corn futures contracts $ 20,154,606 $ - $ 20,154,606 $ - $ 12,973,828 $ 7,180,778 Soybean futures contracts $ 15,124,226 $ - $ 15,124,226 $ - $ 11,257,566 $ 3,866,660 Sugar futures contracts $ 1,407,703 $ - $ 1,407,703 $ - $ 475,661 $ 932,042 Wheat futures contracts $ 5,738,162 $ - $ 5,738,162 $ - $ 2,571,103 $ 3,167,059 The following is a summary of realized and net change in unrealized gains (losses) of the derivative instruments utilized by the Trust: Year ended December 31, 2021 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Depreciation on Commodity Futures Contracts Commodity Price Corn futures contracts $ 65,827,118 $ ( 14,218,054 ) Soybeans futures contracts 27,370,674 ( 12,439,375 ) Sugar futures contracts 6,223,228 ( 408,983 ) Wheat futures contracts 18,418,461 ( 2,678,459 ) Total commodity futures contracts $ 117,839,481 $ ( 29,744,871 ) F-20 Table of Contents Year ended December 31, 2020 Realized Gain (Loss) on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Corn futures contracts $ 5,882,216 $ 19,371,125 Soybean futures contracts 14,404,714 14,192,330 Sugar futures contracts ( 656,937 ) 1,060,274 Wheat futures contracts 5,461,905 669,686 Total commodity futures contracts $ 25,091,898 $ 35,293,415 Year ended December 31, 2019 Realized (Loss) Gain on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Corn futures contracts $ ( 9,512,148 ) $ 1,973,406 Soybean futures contracts ( 438,468 ) 742,746 Sugar futures contracts 113,747 161,106 Wheat futures contracts ( 9,623,635 ) 9,053,876 Total commodity futures contracts $ ( 19,460,504 ) $ 11,931,134 Volume of Derivative Activities The average notional market value categorized by primary underlying risk for all futures contracts held was $321.8 million in 2021, $224.9 million in 2020, and $167.2 million in 2019. Note 6 - Organizational and Offering Costs Expenses incurred in organizing of the Trust and the initial offering of the shares, including applicable SEC registration fees, were borne directly by the Sponsor for the Funds and will be borne directly by the Sponsor for any series of the Trust which is not yet operating or will be issued in the future. The Trust will not be obligated to reimburse the Sponsor. The Funds bear their own costs incurred in connection with the registration and offering of additional shares, which include registration fees, legal fees, underwriting fees, and other similar costs. Note 7 - Detail of the net assets and shares outstanding of the Funds that are a series of the Trust The following are the net assets and shares outstanding of each Fund that is a series of the Trust and, thus, in total, comprise the combined net assets of the Trust: December 31, 2021 Outstanding Shares Net Assets Teucrium Corn Fund 5,600,004 $ 120,846,256 Teucrium Soybean Fund 1,975,004 44,972,625 Teucrium Sugar Fund 2,475,004 22,834,664 Teucrium Wheat Fund 10,250,004 75,621,587 Teucrium Agricultural Fund: 525,002 Net assets including the investment in the Underlying Funds 14,179,655 Less: Investment in the Underlying Funds ( 14,178,019 ) Net for the Fund in the combined net assets of the Trust 1,636 Total $ 264,276,768 F-21 Table of Contents December 31, 2020 Outstanding Shares Net Assets Teucrium Corn Fund 8,900,004 $ 138,289,537 Teucrium Soybean Fund 4,575,004 89,178,862 Teucrium Sugar Fund 1,900,004 12,766,091 Teucrium Wheat Fund 11,350,004 69,876,578 Teucrium Agricultural Fund: 75,002 Net assets including the investment in the Underlying Funds 1,584,388 Less: Investment in the Underlying Funds ( 1,582,262 ) Net for the Fund in the combined net assets of the Trust 2,126 Total $ 310,113,194 The detailed information for the subscriptions and redemptions, and other financial information for each Fund that is a series of the Trust are included in the accompanying financial statements of each Fund. Note 8 - Subsequent Events Management has evaluated the financial statements for the year-ended December 31, 2021 for subsequent events through the date of this filing and noted no material events requiring either recognition through the date of the filing or disclosure herein for the Trust and Funds other than those noted below: Trust: The continued uncertainty over the path of COVID-19 may continue to be highly disruptive to economies and markets. The impact of COVID-19 to the Trust and the Funds is described in more detail in Part 1 of this 10-K. In late February 2022, Russia invaded Ukraine, significantly amplifying already existing geopolitical tensions among Russia and other countries in the region and in the West. The responses of countries and political bodies to Russia’s actions, the larger overarching tensions, and Ukraine’s military response and the potential for wider conflict may increase financial market volatility generally, have severe adverse effects on regional and global economic markets, and cause volatility in the price of agricultural commodities, agricultural commodity futures and the share price of each Fund. CORN: The total net assets of the Fund increased by $ 85,582,064 , or 71 %, for the period December 31, 2021 to March 15, 2022. This was driven by a 22 % increase in the NAV per share and a 40 % increase in the shares outstanding. A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. SOYB: The total net assets of the Fund increased by $ 21,623,239 , or 48 %, for the period December 31, 2021 to March 15, 2022. This was driven by a 19 % increase in the NAV per share and a 24 % increase in the shares outstanding. A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. CANE: A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. WEAT: The total net assets of the Fund increased by $ 273,082,993 , or 361 %, for the period December 31, 2021 to March 15, 2022. This was driven by a 45 % increase in the NAV per share and a 219 % increase in the shares outstanding. In late February 2022, Russia invaded Ukraine, significantly amplifying already existing geopolitical tensions among Russia and other countries in the region and in the West. The responses of countries and political bodies to Russia’s actions, the larger overarching tensions, and Ukraine’s military response and the potential for wider conflict may increase financial market volatility generally, have severe adverse effects on regional and global economic markets, and cause volatility in the price of agricultural commodities, agricultural commodity futures and the share price of the Fund. On March 7, 2022, the Teucrium Wheat Fund sold all available shares for purchase by its Authorized Participants and suspended creations. On March 9, 2022, the SEC accelerated a new registration statement filed by the Fund for an indefinite amount of new shares and the offer and sale of the Fund’s shares commenced. TAGS: The total net assets of the Fund increased by $ 15,312,601 , or 108 %, for the period December 31, 2021 to March 15, 2022. This was driven by a 21 % increase in the NAV per share and a 71 % increase in the shares outstanding. A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. F-22 Table of Contents GRANT THORNTON LLP 757 Third Ave., 9th Floor New York, NY 10017 D +1 212 599 0100 F +1 212 370 4520 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Sponsor and Shareholders of Teucrium Corn Fund Opinion on the financial statements We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Teucrium Corn Fund (the “Fund”) as of December 31, 2021 and 2020, the related statements of operations, changes in net assets, and cash flows for each of the three years in the period ended December 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2021 and 2020, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2021, in conformity with accounting principles generally accepted in the United States of America. Basis for opinion These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical audit matters Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters. /s/ GRANT THORNTON LLP We have served as the Fund’s auditor since 2014. New York, New York March 16, 2022 GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms are separate legal entities and are not a worldwide partnership. F-23 Table of Contents TEUCRIUM CORN FUND STATEMENTS OF ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Assets Cash and cash equivalents $ 115,012,740 $ 138,181,061 Interest receivable 8,614 7,343 Equity in trading accounts: Commodity futures contracts 5,936,552 20,154,606 Due from broker 77,143 - Total equity in trading accounts 6,013,695 20,154,606 Total assets 121,035,049 158,343,010 Liabilities Management fee payable to Sponsor 104,087 117,864 Payable for purchases of commercial paper - 4,997,847 Other liabilities 84,706 21,659 Payable for shares redeemed - 1,942,275 Equity in trading accounts: Due to broker - 12,973,828 Total liabilities 188,793 20,053,473 Net assets $ 120,846,256 $ 138,289,537 Shares outstanding 5,600,004 8,900,004 Shares authorized 22,425,000 27,450,000 Net asset value per share $ 21.58 $ 15.54 Market value per share $ 21.54 $ 15.58 The accompanying notes are an integral part of these financial statements. F-24 Table of Contents TEUCRIUM CORN FUND SCHEDULE OF INVESTMENTS December 31, 2021 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.026% (cost $11,397,154) $ 11,397,154 9.43 % 11,397,154 Goldman Sachs Financial Square Government Fund - Institutional Class 0.030% (cost $2,508) 2,508 0.00 2,508 Total money market funds (cost: $11,399,662) 11,399,662 9.43 Principal Amount Commercial Paper Albemarle Corporation 0.181% (cost: $7,497,243 due 01/31/2022) $ 7,498,867 6.20 % 7,500,000 Conagra Brands, Inc. 0.160% (cost: $2,499,000 due 01/05/2022) 2,499,955 2.07 2,500,000 Conagra Brands, Inc. 0.150% (cost: $2,499,355 due 01/18/2022) 2,499,823 2.07 2,500,000 General Motors Financial Company, Inc. 0.160% (cost: $2,499,000 due 01/06/2022) 2,499,944 2.07 2,500,000 General Motors Financial Company, Inc. 0.200% (cost: $3,498,289 due 01/31/2022) 3,499,417 2.89 3,500,000 General Motors Financial Company, Inc. 0.160% (cost: $2,499,400 due 01/03/2022) 2,499,978 2.07 2,500,000 Harley-Davidson Financial Services, Inc. 0.167% (cost: $7,497,046 due 01/13/2022) 7,499,583 6.20 7,500,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $2,498,664 due 03/02/2022) 2,498,959 2.07 2,500,000 Humana Inc. 0.140% (cost: $4,998,425 due 01/07/2022) 4,999,883 4.14 5,000,000 Jabil Inc. 0.300% (cost: $4,997,375 due 02/08/2022) 4,998,417 4.13 5,000,000 Jabil Inc. 0.310% (cost: $2,498,450 due 02/25/2022) 2,498,816 2.07 2,500,000 Viatris Inc. 0.250% (cost: $4,997,466 due 02/11/2022) 4,998,577 4.14 5,000,000 Viatris Inc. 0.310% (cost: $2,498,493 due 03/01/2022) 2,498,730 2.07 2,500,000 WGL Holdings, Inc. 0.220% (cost: $2,499,343 due 01/12/2022) 2,499,832 2.07 2,500,000 Total Commercial Paper (cost: $53,477,549) $ 53,490,781 44.26 % Total Cash Equivalents $ 64,890,443 53.69 % Notional Amount (Long Exposure) Commodity futures contracts United States corn futures contracts CBOT corn futures MAY22 (1,418 contracts) $ 3,767,282 3.12 % $ 42,185,500 CBOT corn futures JUL22 (1,218 contracts) 196,244 0.16 36,144,150 CBOT corn futures DEC22 (1,558 contracts) 1,973,026 1.63 42,533,400 Total commodity futures contracts $ 5,936,552 4.91 % $ 120,863,050 The accompanying notes are an integral part of these financial statements. F-25 Table of Contents TEUCRIUM CORN FUND SCHEDULE OF INVESTMENTS December 31, 2020 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.04% (cost $27,477,241) $ 27,477,241 19.87 % 27,477,241 Blackrock Liquidity FedFund - Institutional Class 0.005% (cost $19,076) 19,076 0.01 19,076 Total money market funds (cost: $27,496,317) 27,496,317 19.88 Principal Amount Commercial Paper Energy Transfer Operating, L.P. 0.501% (cost: $2,498,889 due 01/29/2021) $ 2,499,028 1.81 % 2,500,000 Energy Transfer Operating, L.P. 0.501% (cost: $4,997,847 due 02/05/2021) 4,997,847 3.61 5,000,000 General Motors Financial Company, Inc. 0.411% (cost: $2,498,178 due 01/08/2021) 2,499,801 1.81 2,500,000 General Motors Financial Company, Inc. 0.471% (cost: $4,994,386 due 01/20/2021) 4,998,760 3.61 5,000,000 General Motors Financial Company, Inc. 0.471% (cost: $2,497,226 due 01/20/2021) 2,499,380 1.81 2,500,000 General Motors Financial Company, Inc. 0.471% (cost: $2,497,062 due 01/25/2021) 2,499,217 1.81 2,500,000 Harley-Davidson Financial Services, Inc. 0.310% (cost: $5,496,496 due 01/05/2021) 5,499,811 3.98 5,500,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $2,498,437 due 01/11/2021) 2,499,826 1.81 2,500,000 Hyundai Capital America, Inc. 0.150% (cost: $4,998,397 due 02/01/2021) 4,999,354 3.62 5,000,000 Hyundai Capital America, Inc. 0.170% (cost: $4,998,490 due 02/03/2021) 4,999,221 3.61 5,000,000 Jabil Inc. 0.430% (cost: $4,997,253 due 01/29/2021) 4,998,328 3.61 5,000,000 Jabil Inc. 0.501% (cost: $4,994,306 due 02/24/2021) 4,996,250 3.61 5,000,000 Marathon Petroleum Corporation 0.381% (cost: $4,996,147 due 02/26/2021) 4,997,044 3.61 5,000,000 Viatris Inc. 0.372% (cost: $7,495,588 due 02/26/2021) 7,495,665 5.42 7,500,000 Viatris Inc. 0.451% (cost: $2,497,219 due 03/22/2021) 2,497,500 1.81 2,500,000 WGL Holdings, Inc. 0.200% (cost: $2,499,528 due 01/26/2021) 2,499,653 1.81 2,500,000 Walgreens Boots Alliance, Inc. 0.246% (cost: $4,997,715 due 03/05/2021) 4,997,851 3.61 5,000,000 Total Commercial Paper (cost: $70,453,164) $ 70,474,536 50.96 % Total Cash Equivalents $ 97,970,853 70.84 % Notional Amount (Long Exposure) Commodity futures contracts United States corn futures contracts CBOT corn futures MAY21 (2,004 contracts) $ 9,160,307 6.62 % $ 48,421,650 CBOT corn futures JUL21 (1,727 contracts) 4,516,403 3.27 41,469,588 CBOT corn futures DEC21 (2,226 contracts) 6,477,896 4.68 48,387,675 Total commodity futures contracts $ 20,154,606 14.57 % $ 138,278,913 The accompanying notes are an integral part of these financial statements. F-26 Table of Contents TEUCRIUM CORN FUND STATEMENTS OF OPERATIONS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Income Realized and unrealized gain (loss) on trading of commodity futures contracts: Realized gain (loss) on commodity futures contracts $ 65,827,118 $ 5,882,216 $ ( 9,512,148 ) Net change in unrealized (depreciation) appreciation on commodity futures contracts ( 14,218,054 ) 19,371,125 1,973,406 Interest income 258,156 603,571 1,843,431 Total income (loss) 51,867,220 25,856,912 ( 5,695,311 ) Expenses Management fees 1,505,165 945,485 758,195 Professional fees 526,954 534,142 521,193 Distribution and marketing fees 1,569,853 1,347,461 1,148,456 Custodian fees and expenses 170,890 174,070 156,364 Business permits and licenses fees 29,157 78,930 20,150 General and administrative expenses 134,708 132,300 103,076 Brokerage commissions - - 18,768 Other expenses - 2,783 11,023 Total expenses 3,936,727 3,215,171 2,737,225 Expenses waived by the Sponsor ( 1,060,261 ) ( 849,396 ) ( 15,639 ) Total expenses, net 2,876,466 2,365,775 2,721,586 Net income (loss) $ 48,990,754 $ 23,491,137 $ ( 8,416,897 ) Net income (loss) per share $ 6.04 $ 0.72 $ ( 1.29 ) Net income (loss) per weighted average share $ 6.29 $ 3.28 $ ( 1.72 ) Weighted average shares outstanding 7,790,689 7,170,974 4,882,196 The accompanying notes are an integral part of these financial statements. F-27 Table of Contents TEUCRIUM CORN FUND STATEMENTS OF CHANGES IN NET ASSETS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Operations Net income (loss) $ 48,990,754 $ 23,491,137 $ ( 8,416,897 ) Capital transactions Issuance of Shares 95,586,980 155,612,893 43,738,918 Redemption of Shares ( 162,021,015 ) ( 116,034,683 ) ( 16,480,888 ) Total capital transactions ( 66,434,035 ) 39,578,210 27,258,030 Net change in net assets ( 17,443,281 ) 63,069,347 18,841,133 Net assets, beginning of period $ 138,289,537 $ 75,220,190 $ 56,379,057 Net assets, end of period $ 120,846,256 $ 138,289,537 $ 75,220,190 Net asset value per share at beginning of period $ 15.54 $ 14.82 $ 16.11 Net asset value per share at end of period $ 21.58 $ 15.54 $ 14.82 Creation of Shares 5,025,000 12,675,000 2,675,000 Redemption of Shares 8,325,000 8,850,000 1,100,000 The accompanying notes are an integral part of these financial statements. F-28 Table of Contents TEUCRIUM CORN FUND STATEMENTS OF CASH FLOWS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Cash flows from operating activities: Net income (loss) $ 48,990,754 $ 23,491,137 $ ( 8,416,897 ) Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: Net change in unrealized depreciation (appreciation) on commodity futures contracts 14,218,054 ( 19,371,125 ) ( 1,973,406 ) Changes in operating assets and liabilities: Due from broker ( 77,143 ) 4,252 3,725,944 Interest receivable ( 1,271 ) ( 7,237 ) ( 99 ) Other assets - - 6,380 Due to broker ( 12,973,828 ) 12,973,828 - Management fee payable to Sponsor ( 13,777 ) 52,631 13,411 Payable for purchases of commercial paper ( 4,997,847 ) 4,997,847 ( 4,981,957 ) Other liabilities 63,047 ( 1,880 ) ( 20,416 ) Net cash provided by (used in) operating activities 45,207,989 22,139,453 ( 11,647,040 ) Cash flows from financing activities: Proceeds from sale of Shares 95,586,980 155,612,893 43,738,918 Redemption of Shares ( 163,963,290 ) ( 114,092,408 ) ( 16,480,888 ) Net cash (used in) provided by financing activities ( 68,376,310 ) 41,520,485 27,258,030 Net change in cash and cash equivalents ( 23,168,321 ) 63,659,938 15,610,990 Cash and cash equivalents, beginning of period 138,181,061 74,521,123 58,910,133 Cash and cash equivalents, end of period $ 115,012,740 $ 138,181,061 $ 74,521,123 The accompanying notes are an integral part of these financial statements. F-29 Table of Contents NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 1 - Organization and Operation Teucrium Corn Fund (referred to herein as “CORN,” or the “Fund”) is a commodity pool that is a series of Teucrium Commodity Trust (“Trust”), a Delaware statutory trust formed on September 11, 2009. The Fund issues common units, called the “Shares,” representing fractional undivided beneficial interests in the Fund. The Fund continuously offers Creation Baskets consisting of 25,000 Shares at their Net Asset Value (“NAV”) to “Authorized Purchasers” through Foreside Fund Services, LLC, which is the distributor for the Fund (the “Distributor”). Authorized Purchasers sell such Shares, which are listed on the New York Stock Exchange (“NYSE”) Arca under the symbol “CORN,” to the public at per-Share offering prices that reflect, among other factors, the trading price of the Shares on the NYSE Arca, the NAV of the Fund at the time the Authorized Purchaser purchased the Creation Baskets and the NAV at the time of the offer of the Shares to the public, the supply of and demand for Shares at the time of sale, and the liquidity of the markets for corn interests. The Fund’s Shares trade in the secondary market on the NYSE Arca at prices that are lower or higher than their NAV per Share. The investment objective of CORN is to have the daily changes in the NAV of the Fund’s Shares reflect the daily changes in the corn market for future delivery as measured by the Benchmark. The Benchmark is a weighted average of the closing settlement prices for three futures contracts for corn (“Corn Futures Contracts”) that are traded on the Chicago Board of Trade (“CBOT”): CORN Benchmark CBOT Corn Futures Contract Weighting Second to expire 35 % Third to expire 30 % December following the third to expire 35 % The Fund commenced investment operations on June 9, 2010 and has a fiscal year ending on December 31. The Fund’s sponsor is Teucrium Trading, LLC (the “Sponsor”). The Sponsor is responsible for the management of the Fund. The Sponsor is registered as a commodity pool operator (“CPO”) and a Commodity Trading Advisor (“CTA”) with the Commodity Futures Trading Commission (“CFTC”) and is a member of the National Futures Association (“NFA”). On June 7, 2010, the initial Form S-1 for CORN was declared effective by the U.S. Securities and Exchange Commission (“SEC”). On June 8, 2010, four Creation Baskets for CORN were issued representing 200,000 shares and $ 5,000,000 . CORN began trading on the New York Stock Exchange (“NYSE”) Arca on June 9, 2010. The current registration statement for CORN was declared effective by the SEC on October 2, 2020. The registration statement for CORN registered an additional 20,000,000 shares. Subject to the terms of the Trust Agreement, Teucrium Trading, LLC, in its capacity as the Sponsor , may terminate a Fund at any time, regardless of whether the Fund has incurred losses, including, for instance, if it determines that the Fund’s aggregate net assets in relation to its operating expenses make the continued operation of the Fund unreasonable or imprudent. However, no level of losses will require the Sponsor to terminate a Fund. F-30 Table of Contents Note 2 - Principal Contracts and Agreements The Sponsor employs U.S. Bank N.A. as the Custodian for the Funds. The principal business address for U.S. Bank N.A is 1555 North Rivercenter Drive, Suite 302, Milwaukee, Wisconsin 53212. U.S. Bank N.A. is a Wisconsin state-chartered bank subject to regulation by the Board of Governors of the Federal Reserve System and the Wisconsin State Banking Department. The principal address for U.S. Bancorp Fund Services, LLC doing business as U.S. Bank Global Fund Services (“Global Fund Services”) is 615 E. Michigan Street, Milwaukee, WI 53202. In addition, effective on the Conversion Date, Global Fund Services, a wholly owned subsidiary of U.S. Bank, commenced serving as administrator for each Fund, performing certain administrative, accounting services, and preparing certain SEC reports on behalf of the Funds, and also became the registrar and transfer agent for each Fund’s Shares. For such services, U.S. Bank and Global Fund Services will receive an asset-based fee, subject to a minimum annual fee. For custody services, the Funds will pay to U.S. Bank N.A. 0.0075% of average gross assets up to $1 billion, and 0.0050% of average gross assets over $1 billion, annually, plus certain per-transaction charges. For Transfer Agency, Fund Accounting and Fund Administration services, which are based on the total assets for all the Funds in the Trust, the Funds will pay to Global Fund Services 0.05% of average gross assets on the first $500 million, 0.04% on the next $500 million, 0.03% on the next $2 billion, and 0.02% on the balance over $3 billion annually. A combined minimum annual fee of up to $47,000 for custody, transfer agency, accounting and administrative services is assessed per Fund. These services are recorded in custodian fees and expenses on the statements of operations. A summary of these expenses is included below. The Sponsor employs Foreside Fund Services, LLC (“Foreside” or the “Distributor”) as the Distributor for the Funds. The Distribution Services Agreement among the Distributor and the Sponsor calls for the Distributor to work with the Custodian in connection with the receipt and processing of orders for Creation Baskets and Redemption Baskets and the review and approval of all Fund sales literature and advertising materials. The Distributor and the Sponsor have also entered into a Securities Activities and Service Agreement (the “SASA”) under which certain employees and officers of the Sponsor are licensed as registered representatives or registered principals of the Distributor, under Financial Industry Regulatory Authority (“FINRA”) rules. For its services as the Distributor, Foreside receives a fee of 0.01% of the Fund’s average daily net assets and an aggregate annual fee of $100,000 for all Teucrium Funds, along with certain expense reimbursements. For its services under the SASA, Foreside receives a fee of $5,000 per registered representative and $1,000 per registered location. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below. Pursuant to a Consulting Services Agreement, Foreside Consulting Services, LLC, performs certain consulting support services for the Trust’s Sponsor. Additionally, Foreside Distributors, LLC performs certain distribution consulting services pursuant to a Distribution Consulting Agreement with the Trust’s Sponsor. E D & F Man Capital Markets, Inc. (“E D & F Man”) serves as the Underlying Funds’ clearing broker to execute and clear the Underlying Funds’ futures and provide other brokerage-related services. E D & F Man is registered as an FCM with the U.S. CFTC and is a member of the NFA. E D & F Man is also registered as a broker/dealer with the U.S. Securities and Exchange Commission and is a member of FINRA. E D & F Man is a clearing member of ICE Futures U.S., Inc., Chicago Board of Trade, Chicago Mercantile Exchange, New York Mercantile Exchange, and all other major United States commodity exchanges. For Corn, Soybean, Sugar and Wheat Futures Contracts E D & F Man is paid $9.00 per round turn . Prior to August 21, 2019, these expenses were recorded in brokerage commissions on the statements of operations. Beginning on August 21, 2019, these expenses were recognized on a per-trade basis. The half-turn is recognized as an unrealized loss on the statements of operations for contracts that have been purchased since the change in recognition, and a full turn is recognized as a realized loss on the statements of operations when a contract is sold. A summary of these expenses can be found below under the heading, Brokerage Commissions . The sole Trustee of the Trust is Wilmington Trust Company, a Delaware banking corporation. The Trustee will accept service of legal process on the Trust in the State of Delaware and will make certain filings under the Delaware Statutory Trust Act. For its services, the Trustee receives an annual fee of $3,300 from the Trust. These services are recorded in business permits and licenses fees on the statements of operations. A summary of these expenses is included below. F-31 Table of Contents The Sponsor employs Thales Capital Partners LLC (“Thales”) for distribution and solicitation-related services. Thales is registered as a Broker-Dealer with the SEC and a member of FINRA and the Securities Investor Protection Corporation (“SIPC”). Thales receives a quarterly fee of the higher of $18,750 or 0.10% of new assets raised in referred accounts for distribution and solicitation-related services. This fee based on new assets raised is determined by an agreed upon level of assets at the time of signing the contract. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Amount Recognized for Custody Services $ 170,890 $ 174,070 $ 156,364 Amount of Custody Services Waived $ 59,872 $ 52,728 $ - Amount Recognized for Distribution Services $ 88,049 $ 86,151 $ 71,723 Amount of Distribution Services Waived $ 40,063 $ 28,816 $ - Amount Recognized for Wilmington Trust $ 1,520 $ 1,511 $ 1,688 Amount of Wilmington Trust Waived $ - $ 1,511 $ - Amount Recognized for Thales $ 138,657 $ 56,292 $ - Amount of Thales Waived $ 80,945 $ 22,621 $ - Note 3 - Summary of Significant Accounting Policies Basis of Presentation The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as detailed in the Financial Accounting Standards Board’s Accounting Standards Codification. Revenue Recognition Commodity futures contracts are recorded on the trade date. All such transactions are recorded on the identified cost basis and marked to market daily. Unrealized appreciation or depreciation on commodity futures contracts are reflected in the statements of assets and liabilities as the difference between the original contract amount and the fair market value as of the last business day of the year or as of the last date of the financial statements. Changes in the appreciation or depreciation between periods are reflected in the statements of operations. The Fund seeks to earn interest on its assets denominated in U.S. dollars on deposit with the Futures Commission Merchant. In addition, the Fund earns interest on funds held at the custodian and at other financial institutions at prevailing market rates for such investments. The Sponsor invests a portion of cash in commercial paper, which is deemed a cash equivalent based on the rating and duration of contracts as described in the notes to the financial statements and reflected in cash and cash equivalents on the statements of assets and liabilities and statements of cash flows. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. The Sponsor invests a portion of the cash held by the broker in short term Treasury Bills as collateral for open futures contracts. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. Brokerage Commissions Beginning on August 21, 2019, the Sponsor began recognizing the expense for brokerage commissions for futures contract trades on a per-trade basis. Prior to the change, brokerage commissions on all open commodity futures contracts were accrued on the trade date and on a full-turn basis. The below table shows the amounts included on the statements of operations as total brokerage commissions paid inclusive of unrealized loss as of December 31, 2021, 2020, and 2019. CORN Year Ending December 31, 2021 $ 141,674 Year Ending December 31, 2020 $ 149,619 Year Ending December 31, 2019 $ 81,568 F-32 Table of Contents Income Taxes For federal income tax purposes, the Fund will be treated as a publicly traded partnership. A publicly traded partnership is generally treated as a corporation for federal income tax purposes unless 90% or more of the publicly traded partnership’s gross income for each taxable year of its existence consists of qualifying income as defined in section 7704(d) of the Internal Revenue Code of 1986, as amended. Qualifying income is defined as generally including, in pertinent part, interest (other than from a financial business), dividends, and gains from the sale or disposition of capital assets held for the production of interest or dividends. In the case of a partnership of which a principal activity is the buying and selling of commodities, other than as inventory, or of futures, forwards and options with respect to commodities, qualifying income also includes income and gains from commodities and from futures, forwards, options with respect to commodities and, provided the partnership is a trader or investor with respect to such assets, swaps and other notional principal contracts with respect to commodities. The Fund expects that at least 90% of the Fund’s gross income for each taxable year will consist of qualifying income and that the Fund will be taxed as a partnership for federal income tax purposes. The Fund does not record a provision for income taxes because the shareholders report their share of the Fund’s income or loss on their income tax returns. The financial statements reflect the Fund’s transactions without adjustment, if any, required for income tax purposes. The Fund is required to determine whether a tax position is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The Fund files an income tax return in the U.S. federal jurisdiction and may file income tax returns in various U.S. states and foreign jurisdictions. For all tax years 2018 to 2021, the Fund remains subject to income tax examinations by major taxing authorities. The tax benefit recognized is measured as the largest amount of benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. De-recognition of a tax benefit previously recognized results in the Fund recording a tax liability that reduces net assets. Based on its analysis, the Fund has determined that it has not incurred any liability for unrecognized tax benefits as of and for the years ended December 31, 2021, 2020, 2019, and 2018. However, the Fund’s conclusions regarding this policy may be subject to review and adjustment at a later date based on factors including, but not limited to, ongoing analysis of and changes to tax laws, regulations, and interpretations thereof. The Fund recognizes interest accrued related to unrecognized tax benefits and penalties related to unrecognized tax benefits in income tax fees payable, if assessed. No interest expense or penalties have been recognized as of and for the years ended December 31, 2021, 2020, 2019, and 2018. The Fund may be subject to potential examination by U.S. federal, U.S. state, or foreign jurisdictional authorities in the area of income taxes. These potential examinations may include questioning the timing and amount of deductions, the nexus of income among various tax jurisdictions, and compliance with U.S. federal, U.S. state and foreign tax laws. Creations and Redemptions Authorized Purchasers may purchase Creation Baskets consisting of 25,000 shares from CORN. The amount of the proceeds required to purchase a Creation Basket will be equal to the NAV of the shares in the Creation Basket determined as of 4:00 p.m. (EST) on the day the order to create the basket is properly received. Authorized Purchasers may redeem shares from the Fund only in blocks of 25,000 shares called “Redemption Baskets.” The amount of the redemption proceeds for a Redemption Basket will be equal to the NAV of the shares in the Redemption Basket determined as of 4:00 p.m. (EST) on the day the order to redeem the basket is properly received. The Fund receives or pays the proceeds from shares sold or redeemed within three business days after the trade date of the purchase or redemption. The amounts due from Authorized Purchasers are reflected in the Fund’s statements of assets and liabilities as capital shares receivable. Amounts payable to Authorized Purchasers upon redemption are reflected in the Fund’s statements of assets and liabilities as payable for shares redeemed. As outlined in the most recent Form S-1 filing, 50,000 shares represent two Redemption Baskets for the Fund and a minimum level of shares. If the Fund experienced redemptions that caused the number of Shares outstanding to decrease to the minimum level of Shares required to be outstanding, until the minimum number of Shares is again exceeded through the purchase of a new Creation Basket, there can be no more redemptions by an Authorized Purchaser. F-33 Table of Contents Allocation of Shareholder Income and Losses Profit or loss is allocated among the shareholders of the Fund in proportion to the number of shares each shareholder holds as of the close of each month. Cash and Cash Equivalents Cash equivalents are highly liquid investments with original maturity dates of 90 days or less when acquired. The Fund reported its cash equivalents in the statements of assets and liabilities at market value, or at carrying amounts that approximate fair value, because of their highly liquid nature and short-term maturities. Each Fund that is a series of the Trust has the balance of its cash equivalents on deposit with financial institutions. The Trust holds a balance in money market funds that is included in cash and cash equivalents on the statements of assets and liabilities. The Sponsor invests a portion of the available cash for the Funds in alternative demand deposit savings accounts, which are classified as cash and not as cash equivalents. Assets deposited with the bank may, at times, exceed federally insured limits. The Sponsor invests a portion of the available cash for the Funds in investment grade commercial paper with durations of 90 days or less, which is classified as a cash equivalent and is not FDIC insured. The Sponsor may invest a portion of the cash held by the FCM in short term Treasury Bills as collateral for open futures contracts, which is classified as a cash equivalent and is not FDIC insured. December 31, 2021 December 31, 2020 December 31, 2019 Money Market Funds $ 11,399,662 $ 27,496,317 $ 102 Demand Deposit Savings Accounts 50,122,297 40,210,208 36,303,603 Commercial Paper 53,490,781 70,474,536 34,953,236 Treasury Bills - - 3,264,182 Total cash and cash equivalents as presented on the Statement of Assets and Liabilities $ 115,012,740 $ 138,181,061 $ 74,521,123 Payable for Purchases of Commercial Paper The amount recorded by the Fund for commercial paper transactions awaiting settlement, which represents the amount payable for contracts purchased but not yet settled as of the reporting date. The value of the contract is included in cash and cash equivalents, and the payable amount is included as a liability. Due from/to Broker The amount recorded by the Fund for the amount due from and to the clearing broker includes, but is not limited to, cash held by the broker, amounts payable to the clearing broker related to open transactions and payables for commodities futures accounts liquidating to an equity balance on the clearing broker’s records and amounts of brokerage commissions paid and recognized as unrealized losses. Margin is the minimum amount of funds that must be deposited by a commodity interest trader with the trader’s broker to initiate and maintain an open position in futures contracts. A margin deposit acts to assure the trader’s performance of the futures contracts purchased or sold. Futures contracts are customarily bought and sold on initial margin that represents a relatively small percentage of the aggregate purchase or sales price of the contract. Because of such low margin requirements, price fluctuations occurring in the futures markets may create profits and losses that, in relation to the amount invested, are greater than those in other forms of investment or speculation. As discussed below, adverse price changes in a futures contract may result in margin requirements that greatly exceed the initial margin. In addition, the amount of margin required in connection with a particular futures contract is set from time to time by the exchange on which the contract is traded and may be modified from time to time by the exchange during the term of the contract. Brokerage firms, such as the Fund’s clearing brokers, carrying accounts for traders in commodity interest contracts generally require higher amounts of margin as a matter of policy to further protect themselves. Over the counter trading generally involves the extension of credit between counterparties, so the counterparties may agree to require the posting of collateral by one or both parties to address credit exposure. When a trader purchases an option, there is no margin requirement; however, the option premium must be paid in full. When a trader sells an option, on the other hand, he or she is required to deposit margin in an amount determined by the margin requirements established for the underlying interest and, in addition, an amount substantially equal to the current premium for the option. The margin requirements imposed on the selling of options, although adjusted to reflect the probability that out-of-the-money options will not be exercised, can in fact be higher than those imposed in dealing in the futures markets directly. Complicated margin requirements apply to spreads and conversions, which are complex trading strategies in which a trader acquires a mixture of options positions and positions in the underlying interest. F-34 Table of Contents Ongoing or “maintenance” margin requirements are computed each day by a trader’s clearing broker. When the market value of a particular open futures contract changes to a point where the margin on deposit does not satisfy maintenance margin requirements, a margin call is made by the broker. If the margin call is not met within a reasonable time, the broker may close out the trader’s position. With respect to the Fund’s trading, the Fund (and not its shareholders personally) is subject to margin calls. Finally, many major U.S. exchanges have passed certain cross margining arrangements involving procedures pursuant to which the futures and options positions held in an account would, in the case of some accounts, be aggregated and margin requirements would be assessed on a portfolio basis, measuring the total risk of the combined positions. Calculation of Net Asset Value The Fund’s NAV is calculated by: · Taking the current market value of its total assets and · Subtracting any liabilities The administrator, Global Fund Services, calculates the NAV of the Fund once each trading day. It calculates the NAV as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The NAV for a particular trading day is released after 4:15 p.m. (EST). In determining the value of Corn Futures Contracts, the administrator uses the CBOT closing price. The administrator determines the value of all other Fund investments as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The value of over the counter corn interests is determined based on the value of the commodity or futures contract underlying such corn interest, except that a fair value may be determined if the Sponsor believes that the Fund is subject to significant credit risk relating to the counterparty to such corn interest. For purposes of financial statements and reports, the Sponsor will recalculate the NAV where necessary to reflect the “fair value” of a Futures Contract when the Futures Contract closes at its price fluctuation limit for the day. Treasury securities held by the Fund are valued by the administrator using values received from recognized third-party vendors and dealer quotes. NAV includes any unrealized profit or loss on open corn interests and any other income or expense accruing to the Fund but unpaid or not received by the Fund. Sponsor Fee, Allocation of Expenses and Related Party Transactions The Sponsor is responsible for investing the assets of the Fund in accordance with the objectives and policies of the Fund. In addition, the Sponsor arranges for one or more third parties to provide administrative, custodial, accounting, transfer agency and other necessary services to the Trust and the Funds. In addition, the Sponsor elected not to outsource services directly attributable to the Trust and the Funds such as accounting, financial reporting, regulatory compliance and trading activities. In addition, the Fund is contractually obligated to pay a monthly management fee to the Sponsor, based on average daily net assets, at a rate equal to 1.00% per annum. The Fund generally pays for all brokerage fees, taxes and other expenses, including licensing fees for the use of intellectual property, registration or other fees paid to the SEC, FINRA, formerly the National Association of Securities Dealers, or any other regulatory agency in connection with the offer and sale of subsequent Shares after its initial registration and all legal, accounting, printing and other expenses associated therewith. The Fund also pays its portion of the fees and expenses associated with the Trust’s tax accounting and reporting requirements. Certain aggregate expenses common to all Funds within the Trust are allocated by the Sponsor to the respective Funds based on activity drivers deemed most appropriate by the Sponsor for such expenses, including but not limited to relative assets under management and creation order activity. These aggregate common expenses include, but are not limited to, legal, auditing, accounting and financial reporting, tax-preparation, regulatory compliance, trading activities, and insurance costs, as well as fees paid to the Distributor, which are included in the related line item in the statements of operations. A portion of these aggregate common expenses are related to the Sponsor or related parties of principals of the Sponsor; these are necessary services to the Funds, which are primarily the cost of performing accounting and financial reporting, regulatory compliance, and trading activities that are directly attributable to the Fund. Such expenses are primarily recorded as distribution and marketing fees on the statements of operations. All asset-based fees and expenses for the Funds are calculated on the prior day’s net assets. Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Recognized Related Party Transactions $ 1,095,188 $ 1,089,985 $ 858,901 Waived Related Party Transactions $ 535,622 $ 493,231 $ 14,500 F-35 Table of Contents The Sponsor has the ability to elect to pay certain expenses on behalf of the Funds or waive the management fee. This election is subject to change by the Sponsor, at its discretion. Expenses paid by the Sponsor and Management fees waived by the Sponsor are, if applicable, presented as waived expenses in the statements of operations for each Fund. The Sponsor has determined that there would be no recovery sought for the amounts below in any future period: CORN Year Ended December 31, 2021 $ 1,060,261 Year Ended December 31, 2020 $ 849,396 Year Ended December 31, 2019 $ 15,639 Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of the revenue and expenses during the reporting period. Actual results could differ from those estimates. Fair Value - Definition and Hierarchy In accordance with U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. In determining fair value, the Fund uses various valuation approaches. In accordance with GAAP, a fair value hierarchy for inputs is used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s assumptions about the inputs market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy is categorized into three levels based on the inputs as follows: Level 1 - Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 financial instruments. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these financial instruments does not entail a significant degree of judgment. Level 2 - Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Level 3 - Valuations based on inputs that are unobservable and significant to the overall fair value measurement. The availability of valuation techniques and observable inputs can vary from financial instrument to financial instrument and is affected by a wide variety of factors including, the type of financial instrument, whether the financial instrument is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a ready market for the financial instruments existed. Accordingly, the degree of judgment exercised by the Fund in determining fair value is greatest for financial instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy, within which the fair value measurement in its entirety falls, is determined based on the lowest level input that is significant to the fair value measurement. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, the Fund’s own assumptions are set to reflect those that market participants would use in pricing the asset or liability at the measurement date. The Fund uses prices and inputs that are current as of the measurement date, including during periods of market dislocation. In periods of market dislocation, the observability of prices and inputs may be reduced for many securities. This condition could cause a financial instrument to be reclassified to a lower level within the fair value hierarchy. For instance, when Corn Futures Contracts on the CBOT are not actively trading due to a “limit-up” or limit-down” condition, meaning that the change in the Corn Futures Contracts has exceeded the limits established, the Trust and the Fund will revert to alternative verifiable sources of valuation of its assets. When such a situation exists on a quarter close, the Sponsor will calculate the Net Asset Value (“NAV”) on a particular day using the Level 1 valuation but will later recalculate the NAV for the impacted Fund based upon the valuation inputs from these alternative verifiable sources (Level 2 or Level 3) and will report such NAV in its applicable financial statements and reports. F-36 Table of Contents On December 31, 2021 and 2020, in the opinion of the Trust and the Fund, the reported value of the Corn Futures Contracts traded on the CBOT fairly reflected the value of the Corn Futures Contracts held by the Fund, and no adjustments were necessary. The determination is made as of the settlement of the futures contracts on the last day of trading for the reporting period. In making the determination of a Level 1 or Level 2 transfer, the Fund considers the average volume of the specific underlying futures contracts traded on the relevant exchange for the years being reported. For the quarter ended June 30, 2021, Corn Futures Contracts for the Sep21 CBOT corn futures and the Dec21 CBOT corn futures, settled in a “limit up” condition. Accordingly, the Trust and CORN classified these as level 2 assets. The financial statements of CORN were adjusted accordingly. The adjustment resulted in an increase in the unrealized change in commodity futures contracts in excess of reported CBOT values of $711,275 for CORN. The Corn futures contracts transferred back to a Level 1 asset for the period ended September 30, 2021. For the quarter ended March 31, 2021, Corn Futures Contracts for the Jul21 CBOT corn futures, Sep21 CBOT corn futures, and Dec21 CBOT corn futures settled in a “limit up” condition. Accordingly, the Trust and CORN classified these as Level 2 assets. The financial statements of CORN were adjusted accordingly. The adjustment resulted in an increase in the unrealized change in commodity futures contracts in excess of reported CBOT values of $ 3,371,513 . The Jul21 corn futures transferred back to a Level 1 asset for the period ended June 30, 2021, and the Sep21 and Dec21 corn futures contracts transferred back to a Level 1 asset for the period ended September 30, 2021. The Fund records its derivative activities at fair value. Gains and losses from derivative contracts are included in the statements of operations. Derivative contracts include futures contracts related to commodity prices. Futures, which are listed on a national securities exchange, such as the CBOT and the ICE, or reported on another national market, are generally categorized in Level 1 of the fair value hierarchy. OTC derivatives contracts (such as forward and swap contracts) which may be valued using models, depending on whether significant inputs are observable or unobservable, are categorized in Levels 2 or 3 of the fair value hierarchy. Expenses Expenses are recorded using the accrual method of accounting. Net Income (Loss) per Share Net income (loss) per Share is the difference between the NAV per unit at the beginning of each period and at the end of each period. The weighted average number of Shares outstanding was computed for purposes of disclosing net income (loss) per weighted average Share. The weighted average Shares are equal to the number of Shares outstanding at the end of the period, adjusted proportionately for Shares created or redeemed based on the amount of time the Shares were outstanding during such period. New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2021-05: “Leases (Topic 842).” Under the amended guidance, a lessor should classify and account for a lease with variable lease payments that don’t depend on an index or a rate as an operating lease if the lease would’ve been classified as a sales-type lease or a direct financing lease in accordance with the lease classification guidance in Topic 842 and the lessor would’ve otherwise recognized a day-one loss. The amendment was early adopted for the quarter ended September 30, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-10: “Codification Improvements.” The amendment improves the disclosure guidance in appropriate Disclosure Sections, without resulting in changes to current GAAP. The amendment is effective for annual periods beginning after December 15, 2020. The amendment was adopted for the quarter ended March 31, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. F-37 Table of Contents The FASB issued Accounting Standards Update (“ASU”) 2020-02: “Financial Instruments Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). The amendment updates and adds language to ASU 2016-02. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-01: Investments Equity Securities (Topic 321), Investments Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) Clarifying the Interactions between Topic 321, Topic 323, and Topic 815. The amendments clarify the treatment of transactions that require a company to apply or discontinue the equity method of accounting. The amendments were early adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued 2019-07: “Codification Updates to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 3310532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates.” The amendments improve, update, and simplify the SEC’s regulations on financial reporting and disclosure. The amendments were adopted for the quarter ended September 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-04: “Codification Improvements to Topic 326, Financial Instruments Credit Losses, Topic 815, Derivatives and hedging, and Topic 825, Financial Instruments.” The amendments clarify and improve areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement, specifically relating to ASU 201712. The amendments were early adopted for the quarter ended June 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-01: “Leases (Topic 842): Codification Improvements. These amendments align the guidance for fair value of underlying assets by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2018-13: “Fair Value Measurement (Topic 820): Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement. These amendments modify public and private company fair value disclosure requirements. While some disclosures were removed or modified, others were added. The guidance is a result of the FASB’s test of the principals developed to improve the effectiveness of disclosures in the notes to the financial statements. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-13, “Revenue Recognition (Topic 605), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments”. The amendment amends the early adoption date option for certain companies related to adoption of ASU No. 2014-09 and ASU No. 2016-02. The SEC staff stated the SEC would not object to a public business entity that otherwise would not meet the definition of a public business entity except for a requirement to include or the inclusion of its financial statements or financial information in another entity’s filing with the SEC adopting ASC Topic 842 for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities”. These amendments refine and expand hedge accounting for both financial (e.g., interest rate) and commodity risks. Its provisions create more transparency around how economic results are presented, both on the face of the financial statements and in the footnotes. It also makes certain targeted improvements to simplify the application of hedge accounting guidance. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2016-02, “Leases (Topic 842).” The amendments in this update increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. F-38 Table of Contents Note 4 - Fair Value Measurements The Fund’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy as described in the Fund’s significant accounting policies in Note 3. The following table presents information about the Fund’s assets and liabilities measured at fair value as of December 31, 2021 and December 31, 2020: December 31, 2021 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Cash Equivalents $ 64,890,443 $ - $ - $ 64,890,443 Corn Futures Contracts 5,936,552 - - 5,936,552 Total $ 70,826,995 $ - $ - $ 70,826,995 December 31, 2020 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2020 Cash Equivalents $ 97,970,853 $ - $ - $ 97,970,853 Corn Futures Contracts 20,154,606 - - 20,154,606 Total $ 118,125,459 $ - $ - $ 118,125,459 For the years ended December 31, 2021 and 2020, the Fund did not have any significant transfers between any of the levels of the fair value hierarchy. The Sep21 and Dec21 CBOT corn futures contracts were reflected as a Level 2 investment for the period ended June 30, 2021 due to a “limit up” condition; the Jul21 CBOT corn futures, Sep21 CBOT corn futures, and Dec21 CBOT corn futures, were reflected as a Level 2 investment for the period ended March 31, 2021 due to a “limit up” condition. The Jul21 corn futures transferred back to a Level 1 asset for the period ended June 30, 2021, and the Sep21 and Dec21 corn futures contracts transferred back to a Level 1 asset for the period ended September 30, 2021. See the Fair Value - Definition and Hierarchy section in Note 3 above for an explanation of the transfers into and out of each level of the fair value hierarchy. Note 5 - Derivative Instruments and Hedging Activities In the normal course of business, the Fund utilizes derivative contracts in connection with its proprietary trading activities. Investments in derivative contracts are subject to additional risks that can result in a loss of all or part of an investment. The Fund’s derivative activities and exposure to derivative contracts are classified by the following primary underlying risks: interest rate, credit, commodity price, and equity price risks. In addition to its primary underlying risks, the Fund is also subject to additional counterparty risk due to inability of its counterparties to meet the terms of their contracts. For the years ended December 31, 2021 and 2020, the Fund invested only in commodity futures contracts. Futures Contracts The Fund is subject to commodity price risk in the normal course of pursuing its investment objectives. A futures contract represents a commitment for the future purchase or sale of an asset at a specified price on a specified date. The purchase and sale of futures contracts requires margin deposits with an FCM. Subsequent payments (variation margin) are made or received by the Fund each day, depending on the daily fluctuations in the value of the contract, and are recorded as unrealized gains or losses by the Fund. Futures contracts may reduce the Fund’s exposure to counterparty risk since futures contracts are exchange-traded; and the exchange’s clearinghouse, as the counterparty to all exchange-traded futures, guarantees the futures against default. The Commodity Exchange Act requires an FCM to segregate all customer transactions and assets from the FCM’s proprietary activities. A customer’s cash and other equity deposited with an FCM are considered commingled with all other customer funds subject to the FCM’s segregation requirements. In the event of an FCM’s insolvency, recovery may be limited to the Fund’s pro rata share of segregated customer funds available. It is possible that the recovery amount could be less than the total of cash and other equity deposited. F-39 Table of Contents The following table discloses information about offsetting assets and liabilities presented in the statements of assets and liabilities to enable users of these financial statements to evaluate the effect or potential effect of netting arrangements for recognized assets and liabilities. These recognized assets and liabilities are presented as defined in FASB ASU No. 2011-11 “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and subsequently clarified in FASB ASU 2013-01 “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” The following table also identifies the fair value amounts of derivative instruments included in the statements of assets and liabilities as derivative contracts, categorized by primary underlying risk and held by the FCM, E D & F Man as of December 31, 2021 and 2020. *The amount of collateral presented in Collateral, Due from Broker, is limited to the liability for the futures contracts and accordingly does not include the excess collateral pledged. Offsetting of Financial Assets and Derivative Assets as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Corn futures contracts $ 5,936,552 $ - $ 5,936,552 $ - $ - $ 5,936,552 Offsetting of Financial Assets and Derivative Assets as of December 31, 2020 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Corn futures contracts $ 20,154,606 $ - $ 20,154,606 $ - $ 12,973,828 $ 7,180,778 The following is a summary of realized and net change in unrealized gains (losses) of the derivative instruments utilized by the Fund: Year ended December 31, 2021 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Depreciation on Commodity Futures Contracts Commodity Price Corn futures contracts $ 65,827,118 $ ( 14,218,054 ) Year ended December 31, 2020 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Corn futures contracts $ 5,882,216 $ 19,371,125 F-40 Table of Contents Year ended December 31, 2019 Realized Loss on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Corn futures contracts $ ( 9,512,148 ) $ 1,973,406 Volume of Derivative Activities The average notional market value categorized by primary underlying risk for all futures contracts held was $149.9 million in 2021, $96.5 million in 2020, and $76.3 million in 2019. Note 6 - Financial Highlights The following table presents per share performance data and other supplemental financial data for the years ended December 31, 2021, 2020 and 2019. This information has been derived from information presented in the financial statements and is presented with total expenses gross of expenses waived by the Sponsor and with total expenses net of expenses waived by the Sponsor, as appropriate. Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Per Share Operation Performance Net asset value at beginning of period $ 15.54 $ 14.82 $ 16.11 Income (loss) from investment operations: Investment income 0.03 0.08 0.38 Net realized and unrealized gain (loss) on commodity futures contracts 6.38 0.97 ( 1.11 ) Total expenses, net ( 0.37 ) ( 0.33 ) ( 0.56 ) Net increase (decrease) in net asset value 6.04 0.72 ( 1.29 ) Net asset value at end of period $ 21.58 $ 15.54 $ 14.82 Total Return 38.88 % 4.83 % ( 7.99 )% Ratios to Average Net Assets (Annualized) Total expenses 2.62 % 3.40 % 3.61 % Total expenses, net 1.91 % 2.50 % 3.59 % Net investment loss ( 1.74 )% ( 1.86 )% ( 1.16 )% The financial highlights per share data are calculated consistent with the methodology used to calculate asset-based fees and expenses. Note 7 - Organizational and Offering Costs Expenses incurred in organizing of the Trust and the initial offering of the Shares of the Fund, including applicable SEC registration fees were borne directly by the Sponsor. The Fund is not obligated to reimburse these costs to the Sponsor. The Fund bears its own costs incurred in connection with the registration and offering of additional shares, which include registration fees, legal fees, underwriting fees and other similar costs. Note 8 - Subsequent Events Management has evaluated the financial statements for the year-ended December 31, 2021 for subsequent events through the date of this filing and noted no material events requiring either recognition through the date of the filing or disclosure herein for the Fund other than those noted below: The total net assets of the Fund increased by $85,582,064, or 71%, for the period December 31, 2021 to March 15, 2022. This was driven by a 22% increase in the NAV per share and a 40% increase in the shares outstanding. A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. F-41 Table of Contents GRANT THORNTON LLP 757 Third Ave., 9th Floor New York, NY 10017 D +1 212 599 0100 F +1 212 370 4520 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Sponsor and Shareholders of Teucrium Soybean Fund Opinion on the financial statements We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Teucrium Soybean Fund (the “Fund”) as of December 31, 2021 and 2020, the related statements of operations, changes in net assets, and cash flows for each of the three years in the period ended December 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2021 and 2020, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2021, in conformity with accounting principles generally accepted in the United States of America. Basis for opinion These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical audit matters Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters. /s/ GRANT THORNTON LLP We have served as the Fund’s auditor since 2014. New York, New York March 16, 2022 GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms are separate legal entities and are not a worldwide partnership. F-42 Table of Contents TEUCRIUM SOYBEAN FUND STATEMENTS OF ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Assets Cash and cash equivalents $ 43,019,884 $ 90,398,391 Interest receivable 1,928 5,478 Other assets - 37 Equity in trading accounts: Commodity futures contracts 2,684,851 15,124,226 Total assets $ 45,706,663 $ 105,528,132 Liabilities Management fee payable to Sponsor 36,457 75,651 Other liabilities 22,412 18,602 Payable for purchases of commercial paper - 4,997,451 Equity in trading accounts: Due to broker 675,169 11,257,566 Total liabilities $ 734,038 $ 16,349,270 Net assets $ 44,972,625 $ 89,178,862 Shares outstanding 1,975,004 4,575,004 Shares available 15,875,000 17,100,000 Net asset value per share $ 22.77 $ 19.49 Market value per share $ 22.75 $ 19.47 The accompanying notes are an integral part of these financial statements. F-43 Table of Contents TEUCRIUM SOYBEAN FUND SCHEDULE OF INVESTMENTS December 31, 2021 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.026% (cost $8,951,314) $ 8,951,314 19.91 % 8,951,314 Goldman Sachs Financial Square Government Fund - Institutional Class 0.030% (cost $2,511,180) 2,511,180 5.58 2,511,180 Total money market funds (cost: $11,462,494) 11,462,494 25.49 Principal Amount Commercial Paper Albemarle Corporation 0.200% (cost: $2,499,417 due 01/11/2022) $ 2,499,861 5.56 % 2,500,000 Conagra Brands, Inc. 0.160% (cost: $2,499,000 due 01/05/2022) 2,499,956 5.56 2,500,000 Conagra Brands, Inc. 0.150% (cost: $2,499,355 due 01/18/2022) 2,499,823 5.56 2,500,000 General Motors Financial Company, Inc. 0.200% (cost: $3,998,044 due 01/31/2022) 3,999,333 8.89 4,000,000 General Motors Financial Company, Inc. 0.160% (cost: $2,499,400 due 01/03/2022) 2,499,978 5.56 2,500,000 Harley-Davidson Financial Services, Inc. 0.170% (cost: $2,498,938 due 02/01/2022) 2,499,634 5.56 2,500,000 Viatris Inc. 0.300% (cost: $2,498,312 due 02/11/2022) 2,499,146 5.55 2,500,000 Viatris Inc. 0.200% (cost: $2,499,292 due 01/21/2022) 2,499,722 5.56 2,500,000 Total Commercial Paper (cost: $21,491,758) $ 21,497,453 47.80 % Total Cash Equivalents $ 32,959,947 73.29 % Notional Amount (Long Exposure) Commodity futures contracts United States soybean futures contracts CBOT soybean futures MAR22 (234 contracts) $ 591,547 1.32 % $ 15,669,225 CBOT soybean futures MAY22 (199 contracts) 1,008,504 2.24 13,422,550 CBOT soybean futures NOV22 (250 contracts) 1,084,800 2.41 15,865,625 Total commodity futures contracts $ 2,684,851 5.97 % $ 44,957,400 The accompanying notes are an integral part of these financial statements. F-44 Table of Contents TEUCRIUM SOYBEAN FUND SCHEDULE OF INVESTMENTS December 31, 2020 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.04% (cost $8,227,242) $ 8,227,242 9.23 % 8,227,242 Blackrock Liquidity FedFund - Institutional Class 0.005% (cost $5,014,767) 5,014,767 5.62 5,014,767 Total money market funds (cost: $13,242,009) 13,242,009 14.85 Principal Amount Commercial Paper Energy Transfer Operating, L.P. 0.421% (cost: $2,498,862 due 01/29/2021) $ 2,499,183 2.80 % 2,500,000 Energy Transfer Operating, L.P. 0.501% (cost: $2,498,924 due 02/05/2021) 2,498,924 2.80 2,500,000 General Motors Financial Company, Inc. 0.400% (cost: $2,497,945 due 01/04/2021) 2,499,917 2.81 2,500,000 Harley-Davidson Financial Services, Inc. 0.310% (cost: $2,498,407 due 01/05/2021) 2,499,914 2.81 2,500,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $4,996,875 due 01/11/2021) 4,999,653 5.61 5,000,000 Harley-Davidson Financial Services, Inc. 0.270% (cost: $1,999,025 due 01/20/2021) 1,999,715 2.24 2,000,000 Hyundai Capital America, Inc. 0.150% (cost: $2,499,198 due 02/01/2021) 2,499,677 2.80 2,500,000 Hyundai Capital America, Inc. 0.170% (cost: $2,499,245 due 02/03/2021) 2,499,611 2.80 2,500,000 Jabil Inc. 0.430% (cost: $2,498,627 due 01/29/2021) 2,499,164 2.80 2,500,000 Jabil Inc. 0.401% (cost: $2,498,528 due 02/26/2021) 2,498,528 2.80 2,500,000 Marathon Petroleum Corporation 0.350% (cost: $2,498,688 due 02/01/2021) 2,499,246 2.80 2,500,000 Marathon Petroleum Corporation 0.381% (cost: $2,498,074 due 02/26/2021) 2,498,522 2.80 2,500,000 Viatris Inc. 0.372% (cost: $2,498,529 due 02/26/2021) 2,498,555 2.80 2,500,000 Viatris Inc. 0.451% (cost: $2,497,219 due 03/22/2021) 2,497,500 2.80 2,500,000 Walgreens Boots Alliance, Inc. 0.246% (cost: $7,496,571 due 03/05/2021) 7,496,776 8.41 7,500,000 Total Commercial Paper (cost: $44,474,717) $ 44,484,885 49.88 % Total Cash Equivalents $ 57,726,894 64.73 % Notional Amount (Long Exposure) Commodity futures contracts United States soybean futures contracts CBOT soybean futures MAR21 (479 contracts) $ 7,011,407 7.86 % $ 31,398,450 CBOT soybean futures MAY21 (411 contracts) 3,404,313 3.82 26,853,712 CBOT soybean futures NOV21 (557 contracts) 4,708,506 5.28 30,962,238 Total commodity futures contracts $ 15,124,226 16.96 % $ 89,214,400 The accompanying notes are an integral part of these financial statements. F-45 Table of Contents TEUCRIUM SOYBEAN FUND STATEMENTS OF OPERATIONS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Income Realized and unrealized gain (loss) on trading of commodity futures contracts: Realized gain (loss) on commodity futures contracts $ 27,370,674 $ 14,404,714 $ ( 438,468 ) Net change in unrealized (depreciation) appreciation on commodity futures contracts ( 12,439,375 ) 14,192,330 742,746 Interest income 124,186 261,834 677,163 Total income 15,055,485 28,858,878 981,441 Expenses Management fees 727,110 580,800 278,152 Professional fees 278,476 295,623 193,574 Distribution and marketing fees 802,965 675,392 492,175 Custodian fees and expenses 91,007 86,875 66,109 Business permits and licenses fees 25,359 52,067 19,578 General and administrative expenses 79,574 70,720 48,352 Brokerage commissions - - 4,193 Other expenses - - 2,812 Total expenses 2,004,491 1,761,477 1,104,945 Expenses waived by the Sponsor ( 576,014 ) ( 399,518 ) ( 96,303 ) Total expenses, net 1,428,477 1,361,959 1,008,642 Net income (loss) $ 13,627,008 $ 27,496,919 $ ( 27,201 ) Net income (loss) per share $ 3.28 $ 3.64 $ ( 0.35 ) Net income (loss) per weighted average share $ 4.11 $ 7.37 $ ( 0.02 ) Weighted average shares outstanding 3,319,593 3,731,425 1,784,251 The accompanying notes are an integral part of these financial statements. F-46 Table of Contents TEUCRIUM SOYBEAN FUND STATEMENTS OF CHANGES IN NET ASSETS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Operations Net income (loss) $ 13,627,008 $ 27,496,919 $ ( 27,201 ) Capital transactions Issuance of Shares 26,122,875 110,771,840 9,627,010 Redemption of Shares ( 83,956,120 ) ( 77,225,028 ) ( 9,406,695 ) Total capital transactions ( 57,833,245 ) 33,546,812 220,315 Net change in net assets ( 44,206,237 ) 61,043,731 193,114 Net assets, beginning of period $ 89,178,862 $ 28,135,131 $ 27,942,017 Net assets, end of period $ 44,972,625 $ 89,178,862 $ 28,135,131 Net asset value per share at beginning of period $ 19.49 $ 15.85 $ 16.20 Net asset value per share at end of period $ 22.77 $ 19.49 $ 15.85 Creation of Shares 1,225,000 7,600,000 650,000 Redemption of Shares 3,825,000 4,800,000 600,000 The accompanying notes are an integral part of these financial statements. F-47 Table of Contents TEUCRIUM SOYBEAN FUND STATEMENTS OF CASH FLOWS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Cash flows from operating activities: Net income (loss) $ 13,627,008 $ 27,496,919 $ ( 27,201 ) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Net change in unrealized depreciation (appreciation) on commodity futures contracts 12,439,375 ( 14,192,330 ) ( 742,746 ) Changes in operating assets and liabilities: Due from broker - - 1,022,182 Interest receivable 3,550 ( 5,436 ) ( 38 ) Other assets 37 4,333 ( 4,370 ) Due to broker ( 10,582,397 ) 10,613,758 643,808 Management fee payable to Sponsor ( 39,194 ) 52,512 ( 1,834 ) Payable for purchases of commercial paper ( 4,997,451 ) 4,997,451 - Other liabilities 3,810 9,681 ( 10,364 ) Net cash provided by operating activities 10,454,738 28,976,888 879,437 Cash flows from financing activities: Proceeds from sale of Shares 26,122,875 110,771,840 9,627,010 Redemption of Shares ( 83,956,120 ) ( 77,225,028 ) ( 9,406,695 ) Net cash (used in) provided by financing activities ( 57,833,245 ) 33,546,812 220,315 Net change in cash and cash equivalents ( 47,378,507 ) 62,523,700 1,099,752 Cash and cash equivalents, beginning of period 90,398,391 27,874,691 26,774,939 Cash and cash equivalents, end of period $ 43,019,884 $ 90,398,391 $ 27,874,691 The accompanying notes are an integral part of these financial statements. F-48 Table of Contents NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 1 - Organization and Operation Teucrium Soybean Fund (referred to herein as “SOYB” or the “Fund”) is a commodity pool that is a series of Teucrium Commodity Trust (“Trust”), a Delaware statutory trust formed on September 11, 2009. The Fund issues common units, called the “Shares,” representing fractional undivided beneficial interests in the Fund. The Fund continuously offers Creation Baskets consisting of 25,000 Shares at their Net Asset Value (“NAV”) to “Authorized Purchasers” through Foreside Fund Services, LLC, which is the distributor for the Fund (the “Distributor”). Authorized Purchasers sell such Shares, which are listed on the New York Stock Exchange (“NYSE”) Arca under the symbol “SOYB,” to the public at per-Share offering prices that reflect, among other factors, the trading price of the Shares on the NYSE Arca, the NAV of the Fund at the time the Authorized Purchaser purchased the Creation Baskets and the NAV at the time of the offer of the Shares to the public, the supply of and demand for Shares at the time of sale, and the liquidity of the markets for soybean interests. The Fund’s Shares trade in the secondary market on the NYSE Arca at prices that are lower or higher than their NAV per Share. The investment objective of SOYB is to have the daily changes in the NAV of the Fund’s Shares reflect the daily changes in the soybean market for future delivery as measured by the Benchmark. The Benchmark is a weighted average of the closing settlement prices for three futures contracts for soybeans (“Soybean Futures Contracts”) that are traded on the Chicago Board of Trade (“CBOT”): SOYB Benchmark CBOT Soybeans Futures Contract Weighting Second to expire (excluding August & September) 35 % Third to expire (excluding August & September) 30 % Expiring in the November following the expiration of the third to expire contract 35 % The Fund commenced investment operations on September 19, 2011 and has a fiscal year ending December 31. The Fund’s sponsor is Teucrium Trading, LLC (the “Sponsor”). The Sponsor is responsible for the management of the Fund. The Sponsor is registered as a commodity pool operator (“CPO”) and a commodity trading adviser (“CTA”) with the Commodity Futures Trading Commission (“CFTC”) and is a member of the National Futures Association (“NFA”). On June 13, 2011, the initial Form S-1 for SOYB was declared effective by the SEC. On September 16, 2011, two Creation Baskets were issued representing 100,000 shares and $ 2,500,000 . On September 19, 2011, SOYB started trading on the NYSE Arca. The current registration statement for SOYB was declared effective by the SEC on August 24, 2020. The registration statement for SOYB registered an additional 15,000,000 shares. Subject to the terms of the Trust Agreement, Teucrium Trading, LLC, in its capacity as the Sponsor, may terminate a Fund at any time, regardless of whether the Fund has incurred losses, including, for instance, if it determines that the Fund’s aggregate net assets in relation to its operating expenses make the continued operation of the Fund unreasonable or imprudent. However, no level of losses will require the Sponsor to terminate a Fund. Note 2 - Principal Contracts and Agreements The Sponsor employs U.S. Bank N.A. as the Custodian for the Funds. The principal business address for U.S. Bank N.A is 1555 North Rivercenter Drive, Suite 302, Milwaukee, Wisconsin 53212. U.S. Bank N.A. is a Wisconsin state-chartered bank subject to regulation by the Board of Governors of the Federal Reserve System and the Wisconsin State Banking Department. The principal address for U.S. Bancorp Fund Services, LLC doing business as U.S. Bank Global Fund Services (“Global Fund Services”) is 615 E. Michigan Street, Milwaukee, WI 53202. In addition, effective on the Conversion Date, Global Fund Services, a wholly owned subsidiary of U.S. Bank, commenced serving as administrator for each Fund, performing certain administrative, accounting services, and preparing certain SEC reports on behalf of the Funds, and also became the registrar and transfer agent for each Fund’s Shares. For such services, U.S. Bank and Global Fund Services will receive an asset-based fee, subject to a minimum annual fee. For custody services, the Funds will pay to U.S. Bank N.A. 0.0075% of average gross assets up to $1 billion, and 0.0050% of average gross assets over $1 billion, annually, plus certain per-transaction charges. For Transfer Agency, Fund Accounting and Fund Administration services, which are based on the total assets for all the Funds in the Trust, the Funds will pay to Global Fund Services 0.05% of average gross assets on the first $500 million, 0.04% on the next $500 million, 0.03% on the next $2 billion, and 0.02% on the balance over $3 billion annually. A combined minimum annual fee of up to $47,000 for custody, transfer agency, accounting and administrative services is assessed per Fund. These services are recorded in custodian fees and expenses on the statements of operations. A summary of these expenses is included below. F-49 Table of Contents The Sponsor employs Foreside Fund Services, LLC (“Foreside” or the “Distributor”) as the Distributor for the Funds. The Distribution Services Agreement among the Distributor and the Sponsor calls for the Distributor to work with the Custodian in connection with the receipt and processing of orders for Creation Baskets and Redemption Baskets and the review and approval of all Fund sales literature and advertising materials. The Distributor and the Sponsor have also entered into a Securities Activities and Service Agreement (the “SASA”) under which certain employees and officers of the Sponsor are licensed as registered representatives or registered principals of the Distributor, under Financial Industry Regulatory Authority (“FINRA”) rules. For its services as the Distributor, Foreside receives a fee of 0.01% of the Fund’s average daily net assets and an aggregate annual fee of $100,000 for all Teucrium Funds, along with certain expense reimbursements. For its services under the SASA, Foreside receives a fee of $5,000 per registered representative and $1,000 per registered location. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below. Pursuant to a Consulting Services Agreement, Foreside Consulting Services, LLC, performs certain consulting support services for the Trust’s Sponsor. Additionally, Foreside Distributors, LLC performs certain distribution consulting services pursuant to a Distribution Consulting Agreement with the Trust’s Sponsor. E D & F Man Capital Markets, Inc. (“E D & F Man”) serves as the Underlying Funds’ clearing broker to execute and clear the Underlying Funds’ futures and provide other brokerage-related services. E D & F Man is registered as an FCM with the U.S. CFTC and is a member of the NFA. E D & F Man is also registered as a broker/dealer with the U.S. Securities and Exchange Commission and is a member of FINRA. E D & F Man is a clearing member of ICE Futures U.S., Inc., Chicago Board of Trade, Chicago Mercantile Exchange, New York Mercantile Exchange, and all other major United States commodity exchanges. For Corn, Soybean, Sugar and Wheat Futures Contracts E D & F Man is paid $9.00 per round turn. Prior to August 21, 2019, these expenses were recorded in brokerage commissions on the statements of operations. Beginning on August 21, 2019, these expenses were recognized on a per-trade basis. The half-turn is recognized as an unrealized loss on the statements of operations for contracts that have been purchased since the change in recognition, and a full turn is recognized as a realized loss on the statements of operations when a contract is sold. A summary of these expenses can be found below under the heading, Brokerage Commissions . The sole Trustee of the Trust is Wilmington Trust Company, a Delaware banking corporation. The Trustee will accept service of legal process on the Trust in the State of Delaware and will make certain filings under the Delaware Statutory Trust Act. For its services, the Trustee receives an annual fee of $3,300 from the Trust. These services are recorded in business permits and licenses fees on the statements of operations. A summary of these expenses is included below. The Sponsor employs Thales Capital Partners LLC (“Thales”) for distribution and solicitation-related services. Thales is registered as a Broker-Dealer with the SEC and a member of FINRA and the Securities Investor Protection Corporation (“SIPC”). Thales receives a quarterly fee of the higher of $18,750 or 0.10% of new assets raised in referred accounts for distribution and solicitation-related services. This fee based on new assets raised is determined by an agreed upon level of assets at the time of signing the contract. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below: Year Ended December 31, 2020 Year Ended December 31, 2020 Year Ended December 31, 2019 Amount Recognized for Custody Services $ 91,007 $ 86,875 $ 66,109 Amount of Custody Services Waived $ 30,326 $ 667 $ 12,828 Amount Recognized for Distribution Services $ 46,195 $ 43,517 $ 30,189 Amount of Distribution Services Waived $ 24,812 $ 23,156 $ - Amount Recognized for Wilmington Trust $ 631 $ 1,073 $ 533 Amount of Wilmington Trust Waived $ 631 $ - $ - Amount Recognized for Thales $ 78,988 $ 28,871 $ - Amount of Thales Waived $ 31,340 $ 21,770 $ - Note 3 - Summary of Significant Accounting Policies Basis of Presentation The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as detailed in the Financial Accounting Standards Board’s Accounting Standards Codification. F-50 Table of Contents Revenue Recognition Commodity futures contracts are recorded on the trade date. All such transactions are recorded on the identified cost basis and marked to market daily. Unrealized appreciation or depreciation on commodity futures contracts are reflected in the statements of assets and liabilities as the difference between the original contract amount and the fair market value as of the last business day of the year or as of the last date of the financial statements. Changes in the appreciation or depreciation between periods are reflected in the statements of operations. Interest on cash equivalents with financial institutions are recognized on the accrual basis. The Fund seeks to earn interest on funds held at the custodian and other financial institutions at prevailing market rates for such investments. The Sponsor invests a portion of cash in commercial paper, which is deemed a cash equivalent based on the rating and duration of contracts as described in the notes to the financial statements and reflected in cash and cash equivalents on the statements of assets and liabilities and in cash and cash equivalents on the statements of cash flows. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. The Sponsor invests a portion of the cash held by the broker in short term Treasury Bills as collateral for open futures contracts. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. Brokerage Commissions Beginning on August 21, 2019, the Sponsor began recognizing the expense for brokerage commissions for futures contract trades on a per-trade basis. Prior to the change, brokerage commissions on all open commodity futures contracts were accrued on the trade date and on a full-turn basis. The below table shows the amounts included on the statements of operations as total brokerage commissions paid inclusive of unrealized loss as of December 31, 2019, 2020 and 2021. SOYB Year Ending December 31, 2021 $ 29,889 Year Ending December 31, 2020 $ 35,880 Year Ending December 31, 2019 $ 12,219 Income Taxes For federal income tax purposes, the Fund will be treated as a publicly traded partnership. A publicly traded partnership is generally treated as a corporation for federal income tax purposes unless 90% or more of the publicly traded partnership’s gross income for each taxable year of its existence consists of qualifying income as defined in section 7704(d) of the Internal Revenue Code of 1986, as amended. Qualifying income is defined as generally including, in pertinent part, interest (other than from a financial business), dividends, and gains from the sale or disposition of capital assets held for the production of interest or dividends. In the case of a partnership of which a principal activity is the buying and selling of commodities, other than as inventory, or of futures, forwards and options with respect to commodities, qualifying income also includes income and gains from commodities and from futures, forwards, options with respect to commodities and, provided the partnership is a trader or investor with respect to such assets, swaps and other notional principal contracts with respect to commodities. The Fund expects that at least 90% of the Fund’s gross income for each taxable year will consist of qualifying income and that the Fund will be taxed as a partnership for federal income tax purposes. The Fund does not record a provision for income taxes because the shareholders report their share of the Fund’s income or loss on their income tax returns. The financial statements reflect the Fund’s transactions without adjustment, if any, required for income tax purposes. The Fund is required to determine whether a tax position is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The Fund files an income tax return in the U.S. federal jurisdiction and may file income tax returns in various U.S. states and foreign jurisdictions. For all tax years 2018 to 2021, the Fund remains subject to income tax examinations by major taxing authorities. The tax benefit recognized is measured as the largest amount of benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. De-recognition of a tax benefit previously recognized results in the Fund recording a tax liability that reduces net assets. Based on its analysis, the Fund has determined that it has not incurred any liability for unrecognized tax benefits as of and for the years ended December 31, 2021, 2020, 2019, and 2018. However, the Fund’s conclusions regarding this policy may be subject to review and adjustment at a later date based on factors including, but not limited to, ongoing analysis of and changes to tax laws, regulations, and interpretations thereof. F-51 Table of Contents The Fund recognizes interest accrued related to unrecognized tax benefits and penalties related to unrecognized tax benefits in income tax fees payable, if assessed. No interest expense or penalties have been recognized as of and for the years ended December 31, 2021, 2020, 2019, and 2018. The Fund may be subject to potential examination by U.S. federal, U.S. state, or foreign jurisdictional authorities in the area of income taxes. These potential examinations may include questioning the timing and amount of deductions, the nexus of income among various tax jurisdictions, and compliance with U.S. federal, U.S. state and foreign tax laws. Creations and Redemptions Authorized Purchasers may purchase Creation Baskets consisting of 25,000 shares from the Fund. The amount of the proceeds required to purchase a Creation Basket will be equal to the NAV of the shares in the Creation Basket determined as of 4:00 p.m. (EST) on the day the order to create the basket is properly received. Authorized Purchasers may redeem shares from the Fund only in blocks of 25,000 shares called “Redemption Baskets.” The amount of the redemption proceeds for a Redemption Basket will be equal to the NAV of the shares in the Redemption Basket determined as of 4:00 p.m. (EST) on the day the order to redeem the basket is properly received. The Fund receives or pays the proceeds from shares sold or redeemed within three business days after the trade date of the purchase or redemption. The amounts due from Authorized Purchasers are reflected in the Fund’s statements of assets and liabilities as capital shares receivable. Amounts payable to Authorized Purchasers upon redemption are reflected in the Fund’s statements of assets and liabilities as payable for shares redeemed. As outlined in the most recent Form S-1 filing, 50,000 shares represent two Redemption Baskets for the Fund and a minimum level of shares. If the Fund experienced redemptions that caused the number of Shares outstanding to decrease to the minimum level of Shares required to be outstanding, until the minimum number of Shares is again exceeded through the purchase of a new Creation Basket, there can be no more redemptions by an Authorized Purchaser. Allocation of Shareholder Income and Losses Profit or loss is allocated among the shareholders of the Fund in proportion to the number of shares each shareholder holds as of the close of each month. Cash and Cash Equivalents Cash equivalents are highly liquid investments with original maturity dates of 90 days or less when acquired. The Fund reported its cash equivalents in the statements of assets and liabilities at market value, or at carrying amounts that approximate fair value, because of their highly liquid nature and short-term maturities. Each Fund that is a series of the Trust has the balance of its cash equivalents on deposit with financial institutions. The Trust holds a balance in money market funds that is included in cash and cash equivalents on the statements of assets and liabilities. The Sponsor invests a portion of the available cash for the Funds in alternative demand deposit savings accounts, which are classified as cash and not as cash equivalents. Assets deposited with the bank may, at times, exceed federally insured limits. The Sponsor invests a portion of the available cash for the Funds in investment grade commercial paper with durations of 90 days or less, which is classified as a cash equivalent and is not FDIC insured. The Sponsor may invest a portion of the cash held by the FCM in short term Treasury Bills as collateral for open futures contracts, which is classified as a cash equivalent and is not FDIC insured. December 31, 2021 December 31, 2020 December 31, 2019 Money Market Funds $ 11,462,494 $ 13,242,009 $ 103 Demand Deposit Savings Accounts 10,059,937 32,671,497 14,677,599 Commercial Paper 21,497,453 44,484,885 12,481,824 Treasury Bills - - 715,165 Total cash and cash equivalents as presented on the Statement of Assets and Liabilities $ 43,019,884 $ 90,398,391 $ 27,874,691 Payable for Purchases of Commercial Paper The amount recorded by the Fund for commercial paper transactions awaiting settlement, which represents the amount payable for contracts purchased but not yet settled as of the reporting date. The value of the contract is included in cash and cash equivalents, and the payable amount is included as a liability. F-52 Table of Contents Due from/to Broker The amount recorded by the Fund for the amount due from and to the clearing broker includes, but is not limited to, cash held by the broker, amounts payable to the clearing broker related to open transactions and payables for commodities futures accounts liquidating to an equity balance on the clearing broker’s records and amounts of brokerage commissions paid and recognized as unrealized losses. Margin is the minimum amount of funds that must be deposited by a commodity interest trader with the trader’s broker to initiate and maintain an open position in futures contracts. A margin deposit acts to assure the trader’s performance of the futures contracts purchased or sold. Futures contracts are customarily bought and sold on initial margin that represents a relatively small percentage of the aggregate purchase or sales price of the contract. Because of such low margin requirements, price fluctuations occurring in the futures markets may create profits and losses that, in relation to the amount invested, are greater than those in other forms of investment or speculation. As discussed below, adverse price changes in a futures contract may result in margin requirements that greatly exceed the initial margin. In addition, the amount of margin required in connection with a particular futures contract is set from time to time by the exchange on which the contract is traded and may be modified from time to time by the exchange during the term of the contract. Brokerage firms, such as the Fund’s clearing brokers, carrying accounts for traders in commodity interest contracts generally require higher amounts of margin as a matter of policy to further protect themselves. Over the counter trading generally involves the extension of credit between counterparties, so the counterparties may agree to require the posting of collateral by one or both parties to address credit exposure. When a trader purchases an option, there is no margin requirement; however, the option premium must be paid in full. When a trader sells an option, on the other hand, he or she is required to deposit margin in an amount determined by the margin requirements established for the underlying interest and, in addition, an amount substantially equal to the current premium for the option. The margin requirements imposed on the selling of options, although adjusted to reflect the probability that out-of-the-money options will not be exercised, can in fact be higher than those imposed in dealing in the futures markets directly. Complicated margin requirements apply to spreads and conversions, which are complex trading strategies in which a trader acquires a mixture of options positions and positions in the underlying interest. Ongoing or “maintenance” margin requirements are computed each day by a trader’s clearing broker. When the market value of a particular open futures contract changes to a point where the margin on deposit does not satisfy maintenance margin requirements, a margin call is made by the broker. If the margin call is not met within a reasonable time, the broker may close out the trader’s position. With respect to the Fund’s trading, the Fund (and not its shareholders personally) is subject to margin calls. Finally, many major U.S. exchanges have passed certain cross margining arrangements involving procedures pursuant to which the futures and options positions held in an account would, in the case of some accounts, be aggregated and margin requirements would be assessed on a portfolio basis, measuring the total risk of the combined positions. Calculation of Net Asset Value The Fund’s NAV is calculated by: · Taking the current market value of its total assets and · Subtracting any liabilities The administrator, Global Fund Services, calculates the NAV of the Fund once each trading day. It calculates the NAV as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The NAV for a particular trading day is released after 4:15 p.m. (EST). In determining the value of Soybean Futures Contracts, the administrator uses the CBOT closing price. The administrator determines the value of all other Fund investments as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The value of over the counter soybean interests is determined based on the value of the commodity or futures contract underlying such soybean interest, except that a fair value may be determined if the Sponsor believes that the Fund is subject to significant credit risk relating to the counterparty to such soybean interest. For purposes of financial statements and reports, the Sponsor will recalculate the NAV where necessary to reflect the “fair value” of a Futures Contract when the Futures Contract closes at its price fluctuation limit for the day. Treasury securities held by the Fund are valued by the administrator using values received from recognized third-party vendors and dealer quotes. NAV includes any unrealized profit or loss on open soybean interests and any other income or expense accruing to the Fund but unpaid or not received by the Fund. F-53 Table of Contents Sponsor Fee, Allocation of Expenses and Related Party Transactions The Sponsor is responsible for investing the assets of the Fund in accordance with the objectives and policies of the Fund. In addition, the Sponsor arranges for one or more third parties to provide administrative, custodial, accounting, transfer agency and other necessary services to the Trust and the Funds. In addition, the Sponsor elected not to outsource services directly attributable to the Trust and the Funds such as accounting, financial reporting, regulatory compliance and trading activities. In addition, the Fund is contractually obligated to pay a monthly management fee to the Sponsor, based on average daily net assets, at a rate equal to 1.00% per annum. The Fund generally pays for all brokerage fees, taxes and other expenses, including licensing fees for the use of intellectual property, registration or other fees paid to the SEC, FINRA, formerly the National Association of Securities Dealers, or any other regulatory agency in connection with the offer and sale of subsequent Shares after its initial registration and all legal, accounting, printing and other expenses associated therewith. The Fund also pays its portion of the fees and expenses associated with the Trust’s tax accounting and reporting requirements. Certain aggregate expenses common to all Funds within the Trust are allocated by the Sponsor to the respective Funds based on activity drivers deemed most appropriate by the Sponsor for such expenses, including but not limited to relative assets under management and creation order activity. These aggregate common expenses include, but are not limited to, legal, auditing, accounting and financial reporting, tax-preparation, regulatory compliance, trading activities, and insurance costs, as well as fees paid to the Distributor, which are included in the related line item in the statements of operations. A portion of these aggregate common expenses are related to the Sponsor or related parties of principals of the Sponsor; these are necessary services to the Funds, which are primarily the cost of performing accounting and financial reporting, regulatory compliance, and trading activities that are directly attributable to the Fund. Such expenses are primarily recorded as distribution and marketing fees on the statements of operations. All asset-based fees and expenses for the Funds are calculated on the prior day’s net assets. Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Recognized Related Party Transactions $ 571,585 $ 547,998 $ 379,031 Waived Related Party Transactions $ 288,098 $ 194,347 $ 31,537 The Sponsor has the ability to elect to pay certain expenses on behalf of the Funds or waive the management fee. This election is subject to change by the Sponsor, at its discretion. Expenses paid by the Sponsor and Management fees waived by the Sponsor are, if applicable, presented as waived expenses in the statements of operations for each Fund. The Sponsor has determined that there would be no recovery sought for the amounts below in any future period: SOYB Year Ended December 31, 2021 $ 576,014 Year Ended December 31, 2020 $ 399,518 Year Ended December 31, 2019 $ 96,303 Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of the revenue and expenses during the reporting period. Actual results could differ from those estimates. Fair Value - Definition and Hierarchy In accordance with U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. In determining fair value, the Fund uses various valuation approaches. In accordance with U.S. GAAP, a fair value hierarchy for inputs is used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s assumptions about the inputs market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy is categorized into three levels based on the inputs as follows: F-54 Table of Contents Level 1 - Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 financial instruments. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these financial instruments does not entail a significant degree of judgment. Level 2 - Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Level 3 - Valuations based on inputs that are unobservable and significant to the overall fair value measurement. The availability of valuation techniques and observable inputs can vary from financial instrument to financial instrument and is affected by a wide variety of factors including, the type of financial instrument, whether the financial instrument is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a ready market for the financial instruments existed. Accordingly, the degree of judgment exercised by the Fund in determining fair value is greatest for financial instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy, within which the fair value measurement in its entirety falls, is determined based on the lowest level input that is significant to the fair value measurement. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, the Fund’s own assumptions are set to reflect those that market participants would use in pricing the asset or liability at the measurement date. The Fund uses prices and inputs that are current as of the measurement date, including periods of market dislocation. In periods of market dislocation, the observability of prices and inputs may be reduced for many financial instruments. This condition could cause a financial instrument to be reclassified to a lower level within the fair value hierarchy. When such a situation exists on a quarter close, the Sponsor will calculate the NAV on a particular day using the Level 1 valuation but will later recalculate the NAV for the impacted Fund based upon the valuation inputs from these alternative verifiable sources (Level 2 or Level 3) and will report such NAV in its applicable financial statements and reports. On December 31, 2021 and 2020, in the opinion of the Trust and the Fund, the reported value of the Soybean Futures Contracts traded on the CBOT fairly reflected the value of the Soybean Futures Contracts held by the Fund, with no adjustments necessary. The determination is made as of the settlement of the futures contracts on the last day of trading for the reporting period. In making the determination of a Level 1 or Level 2 transfer, the Fund considers the average volume of the specific underlying futures contracts traded on the relevant exchange for the years being reported. For the quarter ended March 31, 2021, Soybean Futures Contracts for Jul21 CBOT soybean futures, and the Nov21 CBOT soybean futures settled in a “limit up” condition. Accordingly, the Trust and SOYB classified these as Level 2 assets. The adjustment in SOYB resulted in a $279,750 increase in the unrealized change in commodity futures contracts in excess of reported CBOT values. These contracts transferred back to a Level 1 asset for the quarter ended June 30, 2021. The Fund records its derivative activities at fair value. Gains and losses from derivative contracts are included in the statements of operations. Derivative contracts include futures contracts related to commodity prices. Futures, which are listed on a national securities exchange, such as the CBOT and the ICE, or reported on another national market, are generally categorized in Level 1 of the fair value hierarchy. OTC derivatives contracts (such as forward and swap contracts) which may be valued using models, depending on whether significant inputs are observable or unobservable, are categorized in Levels 2 or 3 of the fair value hierarchy. Expenses Expenses are recorded using the accrual method of accounting. Net Income (Loss) per Share Net income (loss) per Share is the difference between the NAV per unit at the beginning of each period and at the end of each period. The weighted average number of Shares outstanding was computed for purposes of disclosing net income (loss) per weighted average Share. The weighted average Shares are equal to the number of Shares outstanding at the end of the period, adjusted proportionately for Shares created or redeemed based on the amount of time the Shares were outstanding during such period. F-55 Table of Contents New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2021-05: “Leases (Topic 842).” Under the amended guidance, a lessor should classify and account for a lease with variable lease payments that don’t depend on an index or a rate as an operating lease if the lease would’ve been classified as a sales-type lease or a direct financing lease in accordance with the lease classification guidance in Topic 842 and the lessor would’ve otherwise recognized a day-one loss. The amendment was early adopted for the quarter ended September 30, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-10: “Codification Improvements.” The amendment improves the disclosure guidance in appropriate Disclosure Sections, without resulting in changes to current GAAP. The amendment is effective for annual periods beginning after December 15, 2020. The amendment was adopted for the quarter ended March 31, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued Accounting Standards Update (“ASU”) 2020-02: “Financial Instruments Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). The amendment updates and adds language to ASU 2016-02. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-01: Investments Equity Securities (Topic 321), Investments Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) Clarifying the Interactions between Topic 321, Topic 323, and Topic 815. The amendments clarify the treatment of transactions that require a company to apply or discontinue the equity method of accounting. The amendments were early adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued 2019-07: “Codification Updates to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 3310532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates.” The amendments improve, update, and simplify the SEC’s regulations on financial reporting and disclosure. The amendments were adopted for the quarter ended September 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-04: “Codification Improvements to Topic 326, Financial Instruments Credit Losses, Topic 815, Derivatives and hedging, and Topic 825, Financial Instruments.” The amendments clarify and improve areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement, specifically relating to ASU 201712. The amendments were early adopted for the quarter ended June 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-01: “Leases (Topic 842): Codification Improvements. These amendments align the guidance for fair value of underlying assets by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2018-13: “Fair Value Measurement (Topic 820): Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement. These amendments modify public and private company fair value disclosure requirements. While some disclosures were removed or modified, others were added. The guidance is a result of the FASB’s test of the principals developed to improve the effectiveness of disclosures in the notes to the financial statements. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-13, “Revenue Recognition (Topic 605), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments”. The amendment amends the early adoption date option for certain companies related to adoption of ASU No. 2014-09 and ASU No. 2016-02. The SEC staff stated the SEC would not object to a public business entity that otherwise would not meet the definition of a public business entity except for a requirement to include or the inclusion of its financial statements or financial information in another entity’s filing with the SEC adopting ASC Topic 842 for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. F-56 Table of Contents The FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities”. These amendments refine and expand hedge accounting for both financial (e.g., interest rate) and commodity risks. Its provisions create more transparency around how economic results are presented, both on the face of the financial statements and in the footnotes. It also makes certain targeted improvements to simplify the application of hedge accounting guidance. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2016-02, “Leases (Topic 842).” The amendments in this update increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. Note 4 - Fair Value Measurements The Fund’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy as described in the Fund’s significant accounting policies in Note 3. The following table presents information about the Fund’s assets and liabilities measured at fair value as of December 31, 2021 and December 31, 2020: December 31, 2021 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Cash Equivalents $ 32,959,947 $ - $ - $ 32,959,947 Soybean futures contracts 2,684,851 - - 2,684,851 Total $ 35,644,798 $ - $ - $ 35,644,798 December 31, 2020 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2020 Cash Equivalents $ 57,726,894 $ - $ - $ 57,726,894 Soybean futures contracts 15,124,226 - - 15,124,226 Total $ 72,851,120 $ - $ - $ 72,851,120 For the years ended December 31, 2021 and 2020, the Fund did not have any significant transfers between any of the levels of the fair value hierarchy, except for the Jul21 CBOT soybean futures, and the Nov21 CBOT soybean futures, were reflected as a Level 2 asset for the period ended March 31, 2021 due to a “limit up” condition. These Soybean contracts transferred back to a Level 1 asset for the period ended June 30, 2021. See the Fair Value Definition and Hierarchy section in Note 3 above for an explanation of the transfers into and out of each level of the fair value hierarchy. Note 5 - Derivative Instruments and Hedging Activities In the normal course of business, the Fund utilizes derivative contracts in connection with its proprietary trading activities. Investments in derivative contracts are subject to additional risks that can result in a loss of all or part of an investment. The Fund’s derivative activities and exposure to derivative contracts are classified by the following primary underlying risks: interest rate, credit, commodity price, and equity price risks. In addition to its primary underlying risks, the Fund is also subject to additional counterparty risk due to inability of its counterparties to meet the terms of their contracts. For the years ended December 31, 2021 and 2020, the Fund invested only in commodity futures contracts. F-57 Table of Contents Futures Contracts The Fund is subject to commodity price risk in the normal course of pursuing its investment objectives. A futures contract represents a commitment for the future purchase or sale of an asset at a specified price on a specified date. The purchase and sale of futures contracts requires margin deposits with an FCM. Subsequent payments (variation margin) are made or received by the Fund each day, depending on the daily fluctuations in the value of the contract, and are recorded as unrealized gains or losses by the Fund. Futures contracts may reduce the Fund’s exposure to counterparty risk since futures contracts are exchange-traded; and the exchange’s clearinghouse, as the counterparty to all exchange-traded futures, guarantees the futures against default. The Commodity Exchange Act requires an FCM to segregate all customer transactions and assets from the FCM’s proprietary activities. A customer’s cash and other equity deposited with an FCM are considered commingled with all other customer funds subject to the FCM’s segregation requirements. In the event of an FCM’s insolvency, recovery may be limited to the Fund’s pro rata share of segregated customer funds available. It is possible that the recovery amount could be less than the total of cash and other equity deposited. The following table discloses information about offsetting assets and liabilities presented in the statements of assets and liabilities to enable users of these financial statements to evaluate the effect or potential effect of netting arrangements for recognized assets and liabilities. These recognized assets and liabilities are presented as defined in FASB ASU No. 2011-11 “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and subsequently clarified in FASB ASU 2013-01 “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” The following table also identifies the fair value amounts of derivative instruments included in the statements of assets and liabilities as derivative contracts, categorized by primary underlying risk and held by the FCM, E D & F Man as of December 31, 2021 and 2020. *The amount of collateral presented in Collateral, Due from Broker, is limited to the liability for the futures contracts and accordingly does not include the excess collateral pledged. Offsetting of Financial Assets and Derivative Assets as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Soybean futures contracts $ 2,684,851 $ - $ 2,684,851 $ - $ 675,169 $ 2,009,682 Offsetting of Financial Assets and Derivative Assets as of December 31, 2020 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Soybean futures contracts $ 15,124,226 $ - $ 15,124,226 $ - $ 11,257,566 $ 3,866,660 The following is a summary of realized and net change in unrealized gains (losses) of the derivative instruments utilized by the Fund: F-58 Table of Contents Year ended December 31, 2021 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Depreciation on Commodity Futures Contracts Commodity Price Soybeans futures contracts 27,370,674 ( 12,439,375 ) Year ended December 31, 2020 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Soybean futures contracts $ 14,404,714 $ 14,192,330 Year ended December 31, 2019 Realized Loss on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Soybean futures contracts $ ( 438,468 ) $ 742,746 Volume of Derivative Activities The average notional market value categorized by primary underlying risk for all futures contracts held was $ 70.2 million in 2021, $ 61.4 million in 2020, and $ 27.5 million in 2019. Note 6 - Financial Highlights The following table presents per share performance data and other supplemental financial data for the years ended December 31, 2021, 2020 and 2019. This information has been derived from information presented in the financial statements and is presented with total expenses gross of expenses waived by the Sponsor and with total expenses net of expenses waived by the Sponsor, as appropriate. Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Per Share Operation Performance Net asset value at beginning of period $ 19.49 $ 15.85 $ 16.20 Income (loss) from investment operations: Investment income 0.04 0.07 0.38 Net realized and unrealized gain (loss) on commodity futures contracts 3.67 3.94 ( 0.16 ) Total expenses, net ( 0.43 ) ( 0.37 ) ( 0.57 ) Net increase (decrease) in net asset value 3.28 3.64 ( 0.35 ) Net asset value at end of period $ 22.77 $ 19.49 $ 15.85 Total Return 16.82 % 22.98 % ( 2.15 )% Ratios to Average Net Assets (Annualized) Total expenses 2.76 % 3.03 % 3.97 % Total expenses, net 1.96 % 2.34 % 3.63 % Net investment loss ( 1.79 )% ( 1.89 )% ( 1.20 )% The financial highlights per share data are calculated consistent with the methodology used to calculate asset-based fees and expenses. F-59 Table of Contents Note 7 - Organizational and Offering Costs Expenses incurred in organizing of the Trust and the initial offering of the Shares of the Fund, including applicable SEC registration fees were borne directly by the Sponsor. The Fund is not obligated to reimburse these costs to the Sponsor. The Fund bears its own costs incurred in connection with the registration and offering of additional shares, which include registration fees, legal fees, underwriting fees and other similar costs. Note 8 - Subsequent Events Management has evaluated the financial statements for the year-ended December 31, 2021 for subsequent events through the date of this filing and noted no material events requiring either recognition through the date of the filing or disclosure herein for the Fund other than those noted below: The total net assets of the Fund increased by $21,623,239, or 48%, for the period December 31, 2021 to March 15, 2022. This was driven by a 19% increase in the NAV per share and a 24% increase in the shares outstanding. A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. F-60 Table of Contents GRANT THORNTON LLP 757 Third Ave., 9th Floor New York, NY 10017 D +1 212 599 0100 F +1 212 370 4520 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Sponsor and Shareholders of Teucrium Sugar Fund Opinion on the financial statements We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Teucrium Sugar Fund (the “Fund”) as of December 31, 2021 and 2020, the related statements of operations, changes in net assets, and cash flows for each of the three years in the period ended December 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2021 and 2020, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2021, in conformity with accounting principles generally accepted in the United States of America. Basis for opinion These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical audit matters Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters. /s/ GRANT THORNTON LLP We have served as the Fund’s auditor since 2014. New York, New York March 16, 2022 GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms are separate legal entities and are not a worldwide partnership. F-61 Table of Contents TEUCRIUM SUGAR FUND STATEMENTS OF ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Assets Cash and cash equivalents $ 21,332,902 $ 11,849,332 Interest receivable 1,444 904 Equity in trading accounts: Commodity futures contracts 1,079,226 1,407,703 Due from broker 535,983 - Total equity in trading accounts 1,615,209 1,407,703 Total assets 22,949,555 13,257,939 Liabilities Management fee payable to Sponsor 19,490 10,292 Other liabilities 14,895 5,895 Equity in trading accounts: Commodity futures contracts 80,506 - Due to broker - 475,661 Total equity in trading accounts 80,506 475,661 Total liabilities 114,891 491,848 Net assets $ 22,834,664 $ 12,766,091 Shares outstanding 2,475,004 1,900,004 Shares available 21,450,000 23,150,000 Net asset value per share $ 9.23 $ 6.72 Market value per share $ 9.20 $ 6.75 The accompanying notes are an integral part of these financial statements. F-62 Table of Contents TEUCRIUM SUGAR FUND SCHEDULE OF INVESTMENTS December 31, 2021 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.026% (cost $4,808,415) $ 4,808,415 21.06 % 4,808,415 Goldman Sachs Financial Square Government Fund - Institutional Class 0.030% (cost: $8,468) 8,468 0.04 8,468 Total Money Market Funds (cost: $4,816,883) 4,816,883 21.10 Principal Amount Commercial Paper Jabil Inc. 0.250% (cost: $2,499,219 due 01/20/2022) 2,499,670 10.95 2,500,000 WGL Holdings, Inc. 0.187% (cost: $4,998,700 due 01/06/2022) 4,999,870 21.89 5,000,000 Total Commercial Paper (cost: $7,497,919) $ 7,499,540 32.84 % Total Cash Equivalents $ 12,316,423 53.94 % Notional Amount (Long Exposure) Commodity futures contracts United States sugar futures contracts ICE sugar futures MAY22 (381 contracts) $ 225,299 0.99 % $ 7,936,992 ICE sugar futures MAR23 (392 contracts) 853,927 3.74 8,091,507 Total commodity futures contracts $ 1,079,226 4.73 % $ 16,028,499 Percentage of Notional Amount Description: Liabilities Fair Value Net Assets (Long Exposure) Commodity futures contracts United States sugar futures contracts ICE sugar futures JUL22 (331 contracts) $ 80,506 0.35 % $ 6,817,541 The accompanying notes are an integral part of these financial statements. F-63 Table of Contents TEUCRIUM SUGAR FUND SCHEDULE OF INVESTMENTS December 31, 2020 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X (cost $4,134,293) $ 4,134,293 32.38 % 4,134,293 Blackrock Liquidity FedFund - Institutional Class (cost: $18,871) 18,871 0.15 18,871 Total Money Market Funds (cost: $4,153,164) 4,153,164 32.53 Principal Amount Commercial Paper Energy Transfer Operating, L.P. 0.501% (cost: $2,498,889 due 1/29/2021) 2,499,028 19.58 2,500,000 Total Cash Equivalents $ 6,652,192 52.11 % Notional Amount (Long Exposure) Commodity futures contracts United States sugar futures contracts ICE sugar futures MAY21 (272 contracts) $ 550,868 4.32 % $ 4,472,115 ICE sugar futures JUL21 (241 contracts) 345,612 2.71 3,830,165 ICE sugar futures MAR22 (279 contracts) 511,223 4.00 4,459,090 Total commodity futures contracts $ 1,407,703 11.03 % $ 12,761,370 The accompanying notes are an integral part of these financial statements. F-64 Table of Contents TEUCRIUM SUGAR FUND STATEMENTS OF OPERATIONS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Income Realized and unrealized gain (loss) on trading of commodity futures contracts: Realized gain (loss) on commodity futures contracts $ 6,223,228 $ ( 656,937 ) $ 113,747 Net change in unrealized (depreciation) appreciation on commodity futures contracts ( 408,983 ) 1,060,274 161,106 Interest income 27,813 68,866 240,634 Total income 5,842,058 472,203 515,487 Expenses Management fees 204,160 104,170 103,160 Professional fees 60,302 137,657 116,404 Distribution and marketing fees 177,047 158,618 239,069 Custodian fees and expenses 18,782 22,168 29,935 Business permits and licenses fees 26,423 41,840 19,207 General and administrative expenses 22,387 21,585 25,290 Brokerage commissions - - 3,471 Other expenses 8 18 2,151 Total expenses 509,109 486,056 538,687 Expenses waived by the Sponsor ( 134,294 ) ( 210,614 ) ( 171,746 ) Total expenses, net 374,815 275,442 366,941 Net income $ 5,467,243 $ 196,761 $ 148,546 Net income (loss) per share $ 2.51 $ ( 0.32 ) $ ( 0.03 ) Net income per weighted average share $ 2.28 $ 0.12 $ 0.10 Weighted average shares outstanding 2,396,442 1,676,917 1,477,196 The accompanying notes are an integral part of these financial statements. F-65 Table of Contents TEUCRIUM SUGAR FUND STATEMENTS OF CHANGES IN NET ASSETS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Operations Net income $ 5,467,243 $ 196,761 $ 148,546 Capital transactions Issuance of Shares 14,673,718 9,284,965 5,467,420 Redemption of Shares ( 10,072,388 ) ( 9,028,815 ) ( 4,081,525 ) Total capital transactions 4,601,330 256,150 1,385,895 Net change in net assets 10,068,573 452,911 1,534,441 Net assets, beginning of period $ 12,766,091 $ 12,313,180 $ 10,778,739 Net assets, end of period $ 22,834,664 $ 12,766,091 $ 12,313,180 Net asset value per share at beginning of period $ 6.72 $ 7.04 $ 7.07 Net asset value per share at end of period $ 9.23 $ 6.72 $ 7.04 Creation of Shares 1,700,000 1,575,000 800,000 Redemption of Shares 1,125,000 1,425,000 575,000 The accompanying notes are an integral part of these financial statements. F-66 Table of Contents TEUCRIUM SUGAR FUND STATEMENTS OF CASH FLOWS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Cash flows from operating activities: Net income $ 5,467,243 $ 196,761 $ 148,546 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Net change in unrealized depreciation (appreciation) on commodity futures contracts 408,983 ( 1,060,274 ) ( 161,106 ) Changes in operating assets and liabilities: Due from broker ( 535,983 ) - 351,972 Interest receivable ( 540 ) ( 876 ) 62 Other assets - 1,140 3,481 Due to broker ( 475,661 ) 237,753 237,908 Management fee payable to Sponsor 9,198 ( 317 ) 691 Other liabilities 9,000 3,200 ( 13,595 ) Net cash provided by (used in) operating activities 4,882,240 ( 622,613 ) 567,959 Cash flows from financing activities: Proceeds from sale of Shares 14,673,718 9,284,965 5,467,420 Redemption of Shares ( 10,072,388 ) ( 9,028,815 ) ( 4,081,525 ) Net cash provided by financing activities 4,601,330 256,150 1,385,895 Net change in cash and cash equivalents 9,483,570 ( 366,463 ) 1,953,854 Cash and cash equivalents, beginning of period 11,849,332 12,215,795 10,261,941 Cash and cash equivalents, end of period $ 21,332,902 $ 11,849,332 $ 12,215,795 The accompanying notes are an integral part of these financial statements. F-67 Table of Contents NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 1 – Organization and Operation Teucrium Sugar Fund (referred to herein as “CANE” or the “Fund”) is a commodity pool that is a series of Teucrium Commodity Trust (“Trust”), a Delaware statutory trust formed on September 11, 2009. The Fund issues common units, called the “Shares,” representing fractional undivided beneficial interests in the Fund. The Fund continuously offers Creation Baskets consisting of 25,000 Shares at their Net Asset Value (“NAV”) to “Authorized Purchasers” through Foreside Fund Services, LLC, which is the distributor for the Fund (the “Distributor”). Authorized Purchasers sell such Shares, which are listed on the New York Stock Exchange (“NYSE”) Arca under the symbol “CANE,” to the public at per-Share offering prices that reflect, among other factors, the trading price of the Shares on the NYSE Arca, the NAV of the Fund at the time the Authorized Purchaser purchased the Creation Baskets and the NAV at the time of the offer of the Shares to the public, the supply of and demand for Shares at the time of sale, and the liquidity of the markets for sugar interests. The Fund’s Shares trade in the secondary market on the NYSE Arca at prices that are lower or higher than their NAV per Share. The investment objective of CANE is to have the daily changes in the NAV of the Fund’s Shares reflect the daily changes in the sugar market for future delivery as measured by the Benchmark. The Benchmark is a weighted average of the closing settlement prices for three futures contracts for No. 11 sugar (“Sugar Futures Contracts”) that are traded on the ICE Futures US (“ICE”): CANE Benchmark ICE Sugar Futures Contract Weighting Second to expire 35 % Third to expire 30 % Expiring in the March following the expiration of the third to expire contract 35 % The Fund commenced investment operations on September 19, 2011 and has a fiscal year ending December 31. The Fund’s sponsor is Teucrium Trading, LLC (the “Sponsor”). The Sponsor is responsible for the management of the Fund. The Sponsor is registered as a commodity pool operator (“CPO”) and a commodity trading adviser (“CTA”) with the Commodity Futures Trading Commission (“CFTC”) and is a member of the National Futures Association (“NFA”). On June 13, 2011, the initial Form S-1 for CANE was declared effective by the SEC. On September 16, 2011, two Creation Baskets were issued representing 100,000 shares and $ 2,500,000 . On September 19, 2011, CANE started trading on the NYSE Arca. The current registration statement for CANE was declared effective by the SEC on October 2, 2020. The registration statement for CANE registered an additional 15,000,000 shares. Subject to the terms of the Trust Agreement, Teucrium Trading, LLC, in its capacity as the Sponsor, may terminate a Fund at any time, regardless of whether the Fund has incurred losses, including, for instance, if it determines that the Fund’s aggregate net assets in relation to its operating expenses make the continued operation of the Fund unreasonable or imprudent. However, no level of losses will require the Sponsor to terminate a Fund. F-68 Table of Contents Note 2 – Principal Contracts and Agreements The Sponsor employs U.S. Bank N.A. as the Custodian for the Funds. The principal business address for U.S. Bank N.A is 1555 North Rivercenter Drive, Suite 302, Milwaukee, Wisconsin 53212. U.S. Bank N.A. is a Wisconsin state-chartered bank subject to regulation by the Board of Governors of the Federal Reserve System and the Wisconsin State Banking Department. The principal address for U.S. Bancorp Fund Services, LLC doing business as U.S. Bank Global Fund Services (“Global Fund Services”) is 615 E. Michigan Street, Milwaukee, WI 53202. In addition, effective on the Conversion Date, Global Fund Services, a wholly owned subsidiary of U.S. Bank, commenced serving as administrator for each Fund, performing certain administrative, accounting services, and preparing certain SEC reports on behalf of the Funds, and also became the registrar and transfer agent for each Fund’s Shares. For such services, U.S. Bank and Global Fund Services will receive an asset-based fee, subject to a minimum annual fee. For custody services, the Funds will pay to U.S. Bank N.A. 0.0075% of average gross assets up to $1 billion, and 0.0050% of average gross assets over $1 billion, annually, plus certain per-transaction charges. For Transfer Agency, Fund Accounting and Fund Administration services, which are based on the total assets for all the Funds in the Trust, the Funds will pay to Global Fund Services 0.05% of average gross assets on the first $500 million, 0.04% on the next $500 million, 0.03% on the next $2 billion, and 0.02% on the balance over $3 billion annually. A combined minimum annual fee of up to $47,000 for custody, transfer agency, accounting and administrative services is assessed per Fund. These services are recorded in custodian fees and expenses on the statements of operations. A summary of these expenses is included below. The Sponsor employs Foreside Fund Services, LLC (“Foreside” or the “Distributor”) as the Distributor for the Funds. The Distribution Services Agreement among the Distributor and the Sponsor calls for the Distributor to work with the Custodian in connection with the receipt and processing of orders for Creation Baskets and Redemption Baskets and the review and approval of all Fund sales literature and advertising materials. The Distributor and the Sponsor have also entered into a Securities Activities and Service Agreement (the “SASA”) under which certain employees and officers of the Sponsor are licensed as registered representatives or registered principals of the Distributor, under Financial Industry Regulatory Authority (“FINRA”) rules. For its services as the Distributor, Foreside receives a fee of 0.01% of the Fund’s average daily net assets and an aggregate annual fee of $100,000 for all Teucrium Funds, along with certain expense reimbursements. For its services under the SASA, Foreside receives a fee of $5,000 per registered representative and $1,000 per registered location. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below. Pursuant to a Consulting Services Agreement, Foreside Consulting Services, LLC, performs certain consulting support services for the Trust’s Sponsor. Additionally, Foreside Distributors, LLC performs certain distribution consulting services pursuant to a Distribution Consulting Agreement with the Trust’s Sponsor. E D & F Man Capital Markets, Inc. (“E D & F Man”) serves as the Underlying Funds’ clearing broker to execute and clear the Underlying Funds’ futures and provide other brokerage-related services. E D & F Man is registered as an FCM with the U.S. CFTC and is a member of the NFA. E D & F Man is also registered as a broker/dealer with the U.S. Securities and Exchange Commission and is a member of FINRA. E D & F Man is a clearing member of ICE Futures U.S., Inc., Chicago Board of Trade, Chicago Mercantile Exchange, New York Mercantile Exchange, and all other major United States commodity exchanges. For Corn, Soybean, Sugar and Wheat Futures Contracts E D & F Man is paid $9.00 per round turn . Prior to August 21, 2019, these expenses were recorded in brokerage commissions on the statements of operations. Beginning on August 21, 2019, these expenses were recognized on a per-trade basis. The half-turn is recognized as an unrealized loss on the statements of operations for contracts that have been purchased since the change in recognition, and a full turn is recognized as a realized loss on the statements of operations when a contract is sold. A summary of these expenses can be found below under the heading, Brokerage Commissions . The sole Trustee of the Trust is Wilmington Trust Company, a Delaware banking corporation. The Trustee will accept service of legal process on the Trust in the State of Delaware and will make certain filings under the Delaware Statutory Trust Act. For its services, the Trustee receives an annual fee of $3,300 from the Trust. These services are recorded in business permits and licenses fees on the statements of operations. A summary of these expenses is included below. F-69 Table of Contents The Sponsor employs Thales Capital Partners LLC (“Thales”) for distribution and solicitation-related services. Thales is registered as a Broker-Dealer with the SEC and a member of FINRA and the Securities Investor Protection Corporation (“SIPC”). Thales receives a quarterly fee of the higher of $18,750 or 0.10% of new assets raised in referred accounts for distribution and solicitation-related services. This fee based on new assets raised is determined by an agreed upon level of assets at the time of signing the contract. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Amount Recognized for Custody Services $ 18,782 $ 22,168 $ 29,935 Amount of Custody Services Waived $ 9,186 $ 10,306 $ 9,410 Amount Recognized for Distribution Services $ 10,036 $ 9,928 $ 13,940 Amount of Distribution Services Waived $ 6,027 $ 6,200 $ 6,891 Amount Recognized for Wilmington Trust $ 252 $ 139 $ 224 Amount of Wilmington Trust Waived $ 252 $ 139 $ 224 Amount Recognized for Thales $ 14,554 $ 6,364 $ - Amount of Thales Waived $ 9,114 $ 4,770 $ - Note 3 – Summary of Significant Accounting Policies Basis of Presentation The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as detailed in the Financial Accounting Standards Board’s Accounting Standards Codification. Revenue Recognition Commodity futures contracts are recorded on the trade date. All such transactions are recorded on the identified cost basis and marked to market daily. Unrealized appreciation or depreciation on commodity futures contracts are reflected in the statements of assets and liabilities as the difference between the original contract amount and the fair market value as of the last business day of the year or as of the last date of the financial statements. Changes in the appreciation or depreciation between periods are reflected in the statements of operations. Interest on cash equivalents with financial institutions are recognized on the accrual basis. The Fund seeks to earn interest on funds held at the custodian and other financial institutions at prevailing market rates for such investments. The Sponsor invests a portion of cash in commercial paper, which is deemed a cash equivalent based on the rating and duration of contracts as described in the notes to the financial statements and reflected in cash and cash equivalents on the statements of assets and liabilities and in cash and cash equivalents on the statements of cash flows. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. The Sponsor invests a portion of the cash held by the broker in short term Treasury Bills as collateral for open futures contracts. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. Brokerage Commissions Beginning on August 21, 2019, the Sponsor began recognizing the expense for brokerage commissions for futures contract trades on a per-trade basis. Prior to the change, brokerage commissions on all open commodity futures contracts were accrued on the trade date and on a full-turn basis. The below table shows the amounts included on the statements of operations as total brokerage commissions paid inclusive of unrealized loss as of December 31, 2019, 2020, and 2021. CANE Year Ending December 31, 2021 $ 21,123 Year Ending December 31, 2020 $ 14,681 Year Ending December 31, 2019 $ 12,776 F-70 Table of Contents Income Taxes For federal income tax purposes, the Fund will be treated as a publicly traded partnership. A publicly traded partnership is generally treated as a corporation for federal income tax purposes unless 90% or more of the publicly traded partnership’s gross income for each taxable year of its existence consists of qualifying income as defined in section 7704(d) of the Internal Revenue Code of 1986, as amended. Qualifying income is defined as generally including, in pertinent part, interest (other than from a financial business), dividends, and gains from the sale or disposition of capital assets held for the production of interest or dividends. In the case of a partnership of which a principal activity is the buying and selling of commodities, other than as inventory, or of futures, forwards and options with respect to commodities, qualifying income also includes income and gains from commodities and from futures, forwards, options with respect to commodities and, provided the partnership is a trader or investor with respect to such assets, swaps and other notional principal contracts with respect to commodities. The Fund expects that at least 90% of the Fund’s gross income for each taxable year will consist of qualifying income and that the Fund will be taxed as a partnership for federal income tax purposes. The Fund does not record a provision for income taxes because the shareholders report their share of the Fund’s income or loss on their income tax returns. The financial statements reflect the Fund’s transactions without adjustment, if any, required for income tax purposes. The Fund is required to determine whether a tax position is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The Fund files an income tax return in the U.S. federal jurisdiction and may file income tax returns in various U.S. states and foreign jurisdictions. For all tax years 2018 to 2021, the Fund remains subject to income tax examinations by major taxing authorities. The tax benefit recognized is measured as the largest amount of benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. De-recognition of a tax benefit previously recognized results in the Fund recording a tax liability that reduces net assets. Based on its analysis, the Fund has determined that it has not incurred any liability for unrecognized tax benefits as of and for the years ended December 31, 2021, 2020, 2019, and 2018. However, the Fund’s conclusions regarding this policy may be subject to review and adjustment at a later date based on factors including, but not limited to, ongoing analysis of and changes to tax laws, regulations, and interpretations thereof. The Fund recognizes interest accrued related to unrecognized tax benefits and penalties related to unrecognized tax benefits in income tax fees payable, if assessed. No interest expense or penalties have been recognized as of and for the years ended December 31, 2021, 2020, 2019, and 2018. The Fund may be subject to potential examination by U.S. federal, U.S. state, or foreign jurisdictional authorities in the area of income taxes. These potential examinations may include questioning the timing and amount of deductions, the nexus of income among various tax jurisdictions, and compliance with U.S. federal, U.S. state and foreign tax laws. Creations and Redemptions Authorized Purchasers may purchase Creation Baskets consisting of 25,000 shares from the Fund. The amount of the proceeds required to purchase a Creation Basket will be equal to the NAV of the shares in the Creation Basket determined as of 4:00 p.m. (EST) on the day the order to create the basket is properly received. Authorized Purchasers may redeem shares from the Fund only in blocks of 25,000 shares called “Redemption Baskets.” The amount of the redemption proceeds for a Redemption Basket will be equal to the NAV of the shares in the Redemption Basket determined as of 4:00 p.m. (EST) on the day the order to redeem the basket is properly received. The Fund receives or pays the proceeds from shares sold or redeemed within three business days after the trade date of the purchase or redemption. The amounts due from Authorized Purchasers are reflected in the Fund’s statements of assets and liabilities as capital shares receivable. Amounts payable to Authorized Purchasers upon redemption are reflected in the Fund’s statements of assets and liabilities as payable for shares redeemed. As outlined in the most recent Form S-1 filing, 50,000 shares represent two Redemption Baskets for the Fund and a minimum level of shares. If the Fund experienced redemptions that caused the number of Shares outstanding to decrease to the minimum level of Shares required to be outstanding, until the minimum number of Shares is again exceeded through the purchase of a new Creation Basket, there can be no more redemptions by an Authorized Purchaser. F-71 Table of Contents Allocation of Shareholder Income and Losses Profit or loss is allocated among the shareholders of the Fund in proportion to the number of shares each shareholder holds as of the close of each month. Cash and Cash Equivalents Cash equivalents are highly liquid investments with original maturity dates of 90 days or less when acquired. The Fund reported its cash equivalents in the statements of assets and liabilities at market value, or at carrying amounts that approximate fair value, because of their highly liquid nature and short-term maturities. Each Fund that is a series of the Trust has the balance of its cash equivalents on deposit with financial institutions. The Trust holds a balance in money market funds that is included in cash and cash equivalents on the statements of assets and liabilities. The Sponsor invests a portion of the available cash for the Funds in alternative demand deposit savings accounts, which are classified as cash and not as cash equivalents. Assets deposited with the bank may, at times, exceed federally insured limits. The Sponsor invests a portion of the available cash for the Funds in investment grade commercial paper with durations of 90 days or less, which is classified as a cash equivalent and is not FDIC insured. The Sponsor may invest a portion of the cash held by the FCM in short term Treasury Bills as collateral for open futures contracts, which is classified as a cash equivalent and is not FDIC insured. December 31, 2021 December 31, 2020 December 31, 2019 Money Market Funds $ 4,816,883 $ 4,153,164 $ 103 Demand Deposit Savings Accounts 9,016,479 5,197,140 9,032,624 Commercial Paper 7,499,540 2,499,028 2,499,872 Treasury Bills - - 683,196 Total cash and cash equivalents as presented on the Statement of Assets and Liabilities $ 21,332,902 $ 11,849,332 $ 12,215,795 Due from/to Broker The amount recorded by the Fund for the amount due from and to the clearing broker includes, but is not limited to, cash held by the broker, amounts payable to the clearing broker related to open transactions and payables for commodities futures accounts liquidating to an equity balance on the clearing broker’s records and amounts of brokerage commissions paid and recognized as unrealized losses. Margin is the minimum amount of funds that must be deposited by a commodity interest trader with the trader’s broker to initiate and maintain an open position in futures contracts. A margin deposit acts to assure the trader’s performance of the futures contracts purchased or sold. Futures contracts are customarily bought and sold on initial margin that represents a relatively small percentage of the aggregate purchase or sales price of the contract. Because of such low margin requirements, price fluctuations occurring in the futures markets may create profits and losses that, in relation to the amount invested, are greater than those in other forms of investment or speculation. As discussed below, adverse price changes in a futures contract may result in margin requirements that greatly exceed the initial margin. In addition, the amount of margin required in connection with a particular futures contract is set from time to time by the exchange on which the contract is traded and may be modified from time to time by the exchange during the term of the contract. Brokerage firms, such as the Fund’s clearing brokers, carrying accounts for traders in commodity interest contracts generally require higher amounts of margin as a matter of policy to further protect themselves. Over the counter trading generally involves the extension of credit between counterparties, so the counterparties may agree to require the posting of collateral by one or both parties to address credit exposure. When a trader purchases an option, there is no margin requirement; however, the option premium must be paid in full. When a trader sells an option, on the other hand, he or she is required to deposit margin in an amount determined by the margin requirements established for the underlying interest and, in addition, an amount substantially equal to the current premium for the option. The margin requirements imposed on the selling of options, although adjusted to reflect the probability that out-of-the-money options will not be exercised, can in fact be higher than those imposed in dealing in the futures markets directly. Complicated margin requirements apply to spreads and conversions, which are complex trading strategies in which a trader acquires a mixture of options positions and positions in the underlying interest. Ongoing or “maintenance” margin requirements are computed each day by a trader’s clearing broker. When the market value of a particular open futures contract changes to a point where the margin on deposit does not satisfy maintenance margin requirements, a margin call is made by the broker. If the margin call is not met within a reasonable time, the broker may close out the trader’s position. With respect to the Fund’s trading, the Fund (and not its shareholders personally) is subject to margin calls. Finally, many major U.S. exchanges have passed certain cross margining arrangements involving procedures pursuant to which the futures and options positions held in an account would, in the case of some accounts, be aggregated and margin requirements would be assessed on a portfolio basis, measuring the total risk of the combined positions. F-72 Table of Contents Calculation of Net Asset Value The Fund’s NAV is calculated by: · Taking the current market value of its total assets and · Subtracting any liabilities The administrator, Global Fund Services, calculates the NAV of the Fund once each trading day. It calculates the NAV as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The NAV for a particular trading day is released after 4:15 p.m. (EST). In determining the value of Sugar Futures Contracts, the administrator uses the ICE closing price. The administrator determines the value of all other Fund investments as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The value of over the counter sugar interests is determined based on the value of the commodity or futures contract underlying such sugar interest, except that a fair value may be determined if the Sponsor believes that the Fund is subject to significant credit risk relating to the counterparty to such sugar interest. For purposes of financial statements and reports, the Sponsor will recalculate the NAV where necessary to reflect the “fair value” of a Futures Contract when the Futures Contract closes at its price fluctuation limit for the day. Treasury securities held by the Fund are valued by the administrator using values received from recognized third-party vendors and dealer quotes. NAV includes any unrealized profit or loss on open sugar interests and any other income or expense accruing to the Fund but unpaid or not received by the Fund. Sponsor Fee, Allocation of Expenses and Related Party Transactions The Sponsor is responsible for investing the assets of the Fund in accordance with the objectives and policies of the Fund. In addition, the Sponsor arranges for one or more third parties to provide administrative, custodial, accounting, transfer agency and other necessary services to the Trust and the Funds. In addition, the Sponsor elected not to outsource services directly attributable to the Trust and the Funds such as accounting, financial reporting, regulatory compliance and trading activities. In addition, the Fund is contractually obligated to pay a monthly management fee to the Sponsor, based on average daily net assets, at a rate equal to 1.00% per annum. The Fund generally pays for all brokerage fees, taxes and other expenses, including licensing fees for the use of intellectual property, registration or other fees paid to the SEC, FINRA, formerly the National Association of Securities Dealers, or any other regulatory agency in connection with the offer and sale of subsequent Shares after its initial registration and all legal, accounting, printing and other expenses associated therewith. The Fund also pays its portion of the fees and expenses associated with the Trust’s tax accounting and reporting requirements. Certain aggregate expenses common to all Funds within the Trust are allocated by the Sponsor to the respective Funds based on activity drivers deemed most appropriate by the Sponsor for such expenses, including but not limited to relative assets under management and creation order activity. These aggregate common expenses include, but are not limited to, legal, auditing, accounting and financial reporting, tax-preparation, regulatory compliance, trading activities, and insurance costs, as well as fees paid to the Distributor, which are included in the related line item in the statements of operations. A portion of these aggregate common expenses are related to the Sponsor or related parties of principals of the Sponsor; these are necessary services to the Funds, which are primarily the cost of performing accounting and financial reporting, regulatory compliance, and trading activities that are directly attributable to the Fund. Such expenses are primarily recorded as distribution and marketing fees on the statements of operations. All asset-based fees and expenses for the Funds are calculated on the prior day’s net assets. Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Recognized Related Party Transactions $ 124,660 $ 126,960 $ 183,750 Waived Related Party Transactions $ 48,034 $ 50,547 $ 77,532 The Sponsor has the ability to elect to pay certain expenses on behalf of the Funds or waive the management fee. This election is subject to change by the Sponsor, at its discretion. Expenses paid by the Sponsor and Management fees waived by the Sponsor are, if applicable, presented as waived expenses in the statements of operations for each Fund. The Sponsor has determined that there would be no recovery sought for the amounts below in any future period: CANE Year Ended December 31, 2021 $ 134,294 Year Ended December 31, 2020 $ 210,614 Year Ended December 31, 2019 $ 171,746 F-73 Table of Contents Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of the revenue and expenses during the reporting period. Actual results could differ from those estimates. Fair Value – Definition and Hierarchy In accordance with U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. In determining fair value, the Fund uses various valuation approaches. In accordance with U.S. GAAP, a fair value hierarchy for inputs is used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s assumptions about the inputs market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy is categorized into three levels based on the inputs as follows: Level 1 – Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 financial instruments. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these financial instruments does not entail a significant degree of judgment. Level 2 – Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Level 3 – Valuations based on inputs that are unobservable and significant to the overall fair value measurement. The availability of valuation techniques and observable inputs can vary from financial instrument to financial instrument and is affected by a wide variety of factors including, the type of financial instrument, whether the financial instrument is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a ready market for the financial instruments existed. Accordingly, the degree of judgment exercised by the Fund in determining fair value is greatest for financial instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy, within which the fair value measurement in its entirety falls, is determined based on the lowest level input that is significant to the fair value measurement. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, the Fund’s own assumptions are set to reflect those that market participants would use in pricing the asset or liability at the measurement date. The Fund uses prices and inputs that are current as of the measurement date, including periods of market dislocation. In periods of market dislocation, the observability of prices and inputs may be reduced for many financial instruments. This condition could cause a financial instrument to be reclassified to a lower level within the fair value hierarchy. When such a situation exists on a quarter close, the Sponsor will calculate the NAV on a particular day using the Level 1 valuation but will later recalculate the NAV for the impacted Fund based upon the valuation inputs from these alternative verifiable sources (Level 2 or Level 3) and will report such NAV in its applicable financial statements and reports. On December 31, 2021 and 2020, in the opinion of the Trust and the Fund, the reported value of the Sugar Futures Contracts traded on the ICE fairly reflected the value of the Sugar Futures Contracts held by the Fund, and no adjustments were necessary. The determination is made as of the settlement of the futures contracts on the last day of trading for the reporting period. In making the determination of a Level 1 or Level 2 transfer, the Fund considers the average volume of the specific underlying futures contracts traded on the relevant exchange for the years being reported. F-74 Table of Contents For the years ended December 31, 2021 and 2020, the Fund did not have any significant transfers between any of the levels of the fair value hierarchy. The Fund records its derivative activities at fair value. Gains and losses from derivative contracts are included in the statements of operations. Derivative contracts include futures contracts related to commodity prices. Futures, which are listed on a national securities exchange, such as the CBOT and the ICE, or reported on another national market, are generally categorized in Level 1 of the fair value hierarchy. OTC derivatives contracts (such as forward and swap contracts) which may be valued using models, depending on whether significant inputs are observable or unobservable, are categorized in Levels 2 or 3 of the fair value hierarchy. Expenses Expenses are recorded using the accrual method of accounting. Net Income (Loss) per Share Net income (loss) per Share is the difference between the NAV per unit at the beginning of each period and at the end of each period. The weighted average number of Shares outstanding was computed for purposes of disclosing net income (loss) per weighted average Share. The weighted average Shares are equal to the number of Shares outstanding at the end of the period, adjusted proportionately for Shares created or redeemed based on the amount of time the Shares were outstanding during such period. New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2021-05: “Leases (Topic 842).” Under the amended guidance, a lessor should classify and account for a lease with variable lease payments that don’t depend on an index or a rate as an operating lease if the lease would’ve been classified as a sales-type lease or a direct financing lease in accordance with the lease classification guidance in Topic 842 and the lessor would’ve otherwise recognized a day-one loss. The amendment was early adopted for the quarter ended September 30, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-10: “Codification Improvements.” The amendment improves the disclosure guidance in appropriate Disclosure Sections, without resulting in changes to current GAAP. The amendment is effective for annual periods beginning after December 15, 2020. The amendment was adopted for the quarter ended March 31, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued Accounting Standards Update (“ASU”) 2020-02: “Financial Instruments Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). The amendment updates and adds language to ASU 2016-02. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-01: Investments Equity Securities (Topic 321), Investments Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) Clarifying the Interactions between Topic 321, Topic 323, and Topic 815. The amendments clarify the treatment of transactions that require a company to apply or discontinue the equity method of accounting. The amendments were early adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued 2019-07: “Codification Updates to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 3310532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates.” The amendments improve, update, and simplify the SEC’s regulations on financial reporting and disclosure. The amendments were adopted for the quarter ended September 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-04: “Codification Improvements to Topic 326, Financial Instruments Credit Losses, Topic 815, Derivatives and hedging, and Topic 825, Financial Instruments.” The amendments clarify and improve areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement, specifically relating to ASU 201712. The amendments were early adopted for the quarter ended June 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. F-75 Table of Contents The FASB issued ASU 2019-01: “Leases (Topic 842): Codification Improvements. These amendments align the guidance for fair value of underlying assets by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2018-13: “Fair Value Measurement (Topic 820): Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement. These amendments modify public and private company fair value disclosure requirements. While some disclosures were removed or modified, others were added. The guidance is a result of the FASB’s test of the principals developed to improve the effectiveness of disclosures in the notes to the financial statements. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-13, “Revenue Recognition (Topic 605), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments”. The amendment amends the early adoption date option for certain companies related to adoption of ASU No. 2014-09 and ASU No. 2016-02. The SEC staff stated the SEC would not object to a public business entity that otherwise would not meet the definition of a public business entity except for a requirement to include or the inclusion of its financial statements or financial information in another entity’s filing with the SEC adopting ASC Topic 842 for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities”. These amendments refine and expand hedge accounting for both financial (e.g., interest rate) and commodity risks. Its provisions create more transparency around how economic results are presented, both on the face of the financial statements and in the footnotes. It also makes certain targeted improvements to simplify the application of hedge accounting guidance. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2016-02, “Leases (Topic 842).” The amendments in this update increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. Note 4 - Fair Value Measurements The Fund’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy as described in the Fund’s significant accounting policies in Note 3. The following table presents information about the Fund’s assets and liabilities measured at fair value as of December 31, 2021 and December 31, 2020. December 31, 2021 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Cash Equivalents $ 12,316,423 $ - $ - $ 12,316,423 Sugar Futures Contracts 1,079,226 - - 1,079,226 Total $ 13,395,649 $ - $ - $ 13,395,649 Liabilities: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Sugar Futures Contracts $ 80,506 $ - $ - $ 80,506 December 31, 2020 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2020 Cash Equivalents $ 6,652,192 $ - $ - $ 6,652,192 Sugar Futures Contracts 1,407,703 - - 1,407,703 Total $ 8,059,895 $ - $ - $ 8,059,895 F-76 Table of Contents For the years ended December 31, 2021 and 2020, the Fund did not have any significant transfers between any of the levels of the fair value hierarchy. See the Fair Value - Definition and Hierarchy section in Note 3 above for an explanation of the transfers into and out of each level of the fair value hierarchy. Note 5 - Derivative Instruments and Hedging Activities In the normal course of business, the Fund utilizes derivative contracts in connection with its proprietary trading activities. Investments in derivative contracts are subject to additional risks that can result in a loss of all or part of an investment. The Fund’s derivative activities and exposure to derivative contracts are classified by the following primary underlying risks: interest rate, credit, commodity price, and equity price risks. In addition to its primary underlying risks, the Fund is also subject to additional counterparty risk due to inability of its counterparties to meet the terms of their contracts. For the years ended December 31, 2021 and 2020, the Fund invested only in commodity futures contracts. Futures Contracts The Fund is subject to commodity price risk in the normal course of pursuing its investment objectives. A futures contract represents a commitment for the future purchase or sale of an asset at a specified price on a specified date. The purchase and sale of futures contracts requires margin deposits with an FCM. Subsequent payments (variation margin) are made or received by the Fund each day, depending on the daily fluctuations in the value of the contract, and are recorded as unrealized gains or losses by the Fund. Futures contracts may reduce the Fund’s exposure to counterparty risk since futures contracts are exchange-traded; and the exchange’s clearinghouse, as the counterparty to all exchange-traded futures, guarantees the futures against default. The Commodity Exchange Act requires an FCM to segregate all customer transactions and assets from the FCM’s proprietary activities. A customer’s cash and other equity deposited with an FCM are considered commingled with all other customer funds subject to the FCM’s segregation requirements. In the event of an FCM’s insolvency, recovery may be limited to the Fund’s pro rata share of segregated customer funds available. It is possible that the recovery amount could be less than the total of cash and other equity deposited. The following table discloses information about offsetting assets and liabilities presented in the statements of assets and liabilities to enable users of these financial statements to evaluate the effect or potential effect of netting arrangements for recognized assets and liabilities. These recognized assets and liabilities are presented as defined in FASB ASU No. 2011-11 “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and subsequently clarified in FASB ASU 2013-01 “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” The following table also identifies the fair value amounts of derivative instruments included in the statements of assets and liabilities as derivative contracts, categorized by primary underlying risk and held by the FCM, E D & F Man as of December 31, 2021 and 2020. *The amount of collateral presented in Collateral, Due from Broker, is limited to the liability for the futures contracts and accordingly does not include the excess collateral pledged. Offsetting of Financial Assets and Derivative Assets as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Sugar futures contracts $ 1,079,226 $ - $ 1,079,226 $ 80,506 $ - $ 998,720 F-77 Table of Contents Offsetting of Financial Liabilities and Derivative Liabilities as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Liabilities Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due from Broker* Net Amount Commodity Price Sugar futures contracts $ 80,506 $ - $ 80,506 $ 80,506 $ - $ - Offsetting of Financial Assets and Derivative Assets as of December 31, 2020 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Sugar futures contracts $ 1,407,703 $ - $ 1,407,703 $ - $ 475,661 $ 932,042 The following is a summary of realized and net change in unrealized gains (losses) of the derivative instruments utilized by the Fund: Year ended December 31, 2021 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Depreciation on Commodity Futures Contracts Commodity Price Sugar futures contracts 6,223,228 ( 408,983 ) Year ended December 31, 2020 Realized Loss on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Sugar futures contracts $ ( 656,937 ) $ 1,060,274 Year ended December 31, 2019 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Sugar futures contracts $ 113,747 $ 161,106 F-78 Table of Contents Volume of Derivative Activities The average notional market value categorized by primary underlying risk for all futures contracts held was $ 20.9 million in 2021, $ 10.4 million in 2020, and $ 10.4 million in 2019. Note 6 - Financial Highlights The following table presents per share performance data and other supplemental financial data for the years ended December 31, 2021, 2020 and 2019. This information has been derived from information presented in the financial statements and is presented with total expenses gross of expenses waived by the Sponsor and with total expenses net of expenses waived by the Sponsor, as appropriate. Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Per Share Operation Performance Net asset value at beginning of period $ 6.72 $ 7.04 $ 7.07 Income (loss) from investment operations: Investment income 0.01 0.04 0.16 Net realized and unrealized gain (loss) on commodity futures contracts 2.65 ( 0.20 ) 0.06 Total expenses, net ( 0.15 ) ( 0.16 ) ( 0.25 ) Net increase (decrease) in net asset value 2.51 ( 0.32 ) ( 0.03 ) Net asset value at end of period $ 9.23 $ 6.72 $ 7.04 Total Return 37.31 % ( 4.51 )% ( 0.45 )% Ratios to Average Net Assets (Annualized) Total expenses 2.49 % 4.67 % 5.22 % Total expenses, net 1.84 % 2.64 % 3.56 % Net investment loss ( 1.70 )% ( 1.98 )% ( 1.23 )% The financial highlights per share data are calculated consistent with the methodology used to calculate asset-based fees and expenses. Note 7 - Organizational and Offering Costs Expenses incurred in organizing of the Trust and the initial offering of the Shares of the Fund, including applicable SEC registration fees, were borne directly by the Sponsor. The Fund is not obligated to reimburse these costs to the Sponsor. The Fund bears its own costs incurred in connection with the registration and offering of additional shares, which include registration fees, legal fees, underwriting fees and other similar costs. Note 8 - Subsequent Events Management has evaluated the financial statements for the year-ended December 31, 2021 for subsequent events through the date of this filing and noted no material events requiring either recognition through the date of the filing or disclosure herein for the Fund other than those noted below: A new registration statement was filed for the Fund with the SEC on March 10, 2022, and, as of the date of this 10-K, has not been declared effective. The new registration statement registers an indefinite number of shares. F-79 Table of Contents GRANT THORNTON LLP 757 Third Ave., 9th Floor New York, NY 10017 D +1 212 599 0100 F +1 212 370 4520 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Sponsor and Shareholders of Teucrium Wheat Fund Opinion on the financial statements We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Teucrium Wheat Fund (the “Fund”) as of December 31, 2021 and 2020, the related statements of operations, changes in net assets, and cash flows for each of the three years in the period ended December 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2021 and 2020, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2021, in conformity with accounting principles generally accepted in the United States of America. Basis for opinion These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical audit matters Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters. /s/ GRANT THORNTON LLP We have served as the Fund’s auditor since 2014. New York, New York March 16, 2022 GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms are separate legal entities and are not a worldwide partnership. F-80 Table of Contents TEUCRIUM WHEAT FUND STATEMENTS OF ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Assets Cash and cash equivalents $ 72,841,616 $ 68,946,725 Interest receivable 4,993 3,257 Other assets 970 - Capital shares receivable - 307,830 Equity in trading accounts: Commodity futures contracts 3,714,672 5,738,162 Total assets 76,562,251 74,995,974 Liabilities Payable for shares redeemed - 2,462,640 Management fee payable to Sponsor 67,745 60,902 Other liabilities 4,242 24,751 Equity in trading accounts: Commodity futures contracts 654,969 - Due to broker 213,708 2,571,103 Total equity in trading accounts 868,677 2,571,103 Total liabilities 940,664 5,119,396 Net assets $ 75,621,587 $ 69,876,578 Shares outstanding 10,250,004 11,350,004 Shares available 33,600,000 37,650,000 Net asset value per share $ 7.38 $ 6.16 Market value per share $ 7.39 $ 6.19 The accompanying notes are an integral part of these financial statements. F-81 Table of Contents TEUCRIUM WHEAT FUND SCHEDULE OF INVESTMENTS December 31, 2021 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.026% (cost $5,281,765) $ 5,281,765 6.99 % 5,281,765 Goldman Sachs Financial Square Government Fund - Institutional Class 0.030% (cost $3,228) 3,228 0.00 3,228 Total money market funds (cost: $5,284,993) $ 5,284,993 6.99 % Principal Amount Commercial Paper Albemarle Corporation 0.181% (cost: $2,499,081 due 01/31/2022) $ 2,499,622 3.30 % 2,500,000 Albemarle Corporation 0.200% (cost: $2,499,417 due 01/11/2022) 2,499,861 3.31 2,500,000 Brookfield Infrastructure Holdings (Canada) Inc. 0.170% (cost: $2,499,021 due 01/25/2022) 2,499,717 3.31 2,500,000 Conagra Brands, Inc. 0.160% (cost: $2,499,300 due 01/05/2022) 2,499,956 3.31 2,500,000 General Motors Financial Company, Inc. 0.160% (cost: $2,499,000 due 01/06/2022) 2,499,945 3.31 2,500,000 General Motors Financial Company, Inc. 0.200% (cost: $2,498,778 due 01/31/2022) 2,499,583 3.30 2,500,000 Harley-Davidson Financial Services, Inc. 0.167% (cost: $2,499,015 due 01/13/2022) 2,499,861 3.31 2,500,000 Harley-Davidson Financial Services, Inc. 0.170% (cost: $2,498,938 due 02/01/2022) 2,499,634 3.31 2,500,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $2,498,664 due 03/02/2022) 2,498,959 3.30 2,500,000 Jabil Inc. 0.300% (cost: $2,498,688 due 02/08/2022) 2,499,208 3.30 2,500,000 Jabil Inc. 0.310% (cost: $2,498,450 due 02/25/2022) 2,498,816 3.30 2,500,000 Viatris Inc. 0.300% (cost: $2,498,313 due 02/11/2022) 2,499,146 3.30 2,500,000 Viatris Inc. 0.200% (cost: $2,499,292 due 01/21/2022) 2,499,722 3.31 2,500,000 Viatris Inc. 0.310% (cost: $2,498,493 due 03/01/2022) 2,498,730 3.30 2,500,000 WGL Holdings, Inc. 0.220% (cost: $2,499,343 due 01/12/2022) 2,499,832 3.31 2,500,000 Total Commercial Paper (cost: $37,483,793) $ 37,492,592 49.58 % Total Cash Equivalents $ 42,777,585 56.57 % Notional Amount (Long Exposure) Commodity futures contracts United States wheat futures contracts CBOT wheat futures MAY22 (687 contracts) $ 1,809,796 2.39 % $ 26,595,488 CBOT wheat futures DEC22 (686 contracts) 1,904,876 2.52 26,411,000 Total commodity futures contracts $ 3,714,672 4.91 % $ 53,006,488 Description: Liabilities Fair Value Percentage of Net Assets Notional Amount (Long Exposure) Commodity futures contracts United States wheat futures contracts CBOT wheat futures JUL22 (593 contracts) $ 654,969 0.87 % $ 22,667,425 The accompanying notes are an integral part of these financial statements. F-82 Table of Contents TEUCRIUM WHEAT FUND SCHEDULE OF INVESTMENTS December 31, 2020 Percentage of Description: Assets Fair Value Net Assets Shares Cash equivalents Money market funds First American Government Obligations Fund - Class X (cost $16,214,175) $ 16,214,175 23.20 % 16,214,175 Blackrock Liquidity FedFund - Institutional Class (cost $13,227) 13,227 0.02 13,227 Total money market funds (cost: $16,227,402) $ 16,227,402 23.22 % Principal Amount Commercial Paper Energy Transfer Operating, L.P. 0.421% (cost: $2,498,863 due 01/29/2021) $ 2,499,183 3.58 % 2,500,000 Energy Transfer Operating, L.P. 0.501% (cost: $2,498,889 due 01/29/2021) 2,499,028 3.57 2,500,000 General Motors Financial Company, Inc. 0.400% (cost: $2,497,945 due 01/04/2021) 2,499,917 3.58 2,500,000 General Motors Financial Company, Inc. 0.411% (cost: $2,498,178 due 01/08/2021) 2,499,801 3.58 2,500,000 Harley-Davidson Financial Services, Inc. 0.250% (cost: $2,498,437 due 01/11/2021) 2,499,826 3.58 2,500,000 Hyundai Capital America, Inc. 0.170% (cost: $2,499,245 due 02/03/2021) 2,499,611 3.58 2,500,000 Jabil Inc. 0.430% (cost: $2,498,627 due 01/29/2021) 2,499,164 3.58 2,500,000 Jabil Inc. 0.501% (cost: $2,497,153 due 02/24/2021) 2,498,125 3.57 2,500,000 Marathon Petroleum Corporation 0.350% (cost: $4,997,375 due 02/01/2021) 4,998,493 7.15 5,000,000 Marathon Petroleum Corporation 0.381% (cost: $4,996,147 due 02/26/2021) 4,997,044 7.15 5,000,000 WGL Holdings, Inc. 0.200% (cost: $2,499,417 due 01/27/2021) 2,499,639 3.58 2,500,000 Walgreens Boots Alliance, Inc. 0.246% (cost: $2,498,857 due 03/05/2021) 2,498,926 3.58 2,500,000 Total Commercial Paper (cost: $34,979,133) $ 34,988,757 50.08 % Total Cash Equivalents $ 51,216,159 73.30 % Notional Amount (Long Exposure) Commodity futures contracts United States wheat futures contracts CBOT wheat futures MAY21 (765 contracts) $ 2,297,658 3.29 % $ 24,460,875 CBOT wheat futures JUL21 (668 contracts) 687,506 0.98 20,983,550 CBOT wheat futures DEC21 (767 contracts) 2,752,998 3.94 24,419,363 Total commodity futures contracts $ 5,738,162 8.21 % $ 69,863,788 The accompanying notes are an integral part of these financial statements. F-83 Table of Contents TEUCRIUM WHEAT FUND STATEMENTS OF OPERATIONS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Income Realized and unrealized gain (loss) on trading of commodity futures contracts: Realized gain (loss) on commodity futures contracts $ 18,418,461 $ 5,461,905 $ ( 9,623,635 ) Net change in unrealized (depreciation) appreciation on commodity futures contracts ( 2,678,459 ) 669,686 9,053,876 Interest income 131,765 416,399 1,319,942 Total income 15,871,767 6,547,990 750,183 Expenses Management fees 809,682 554,982 534,850 Professional fees 201,641 287,573 349,582 Distribution and marketing fees 662,478 631,478 735,336 Custodian fees and expenses 74,742 84,306 96,947 Business permits and licenses fees 27,591 26,198 32,473 General and administrative expenses 60,012 71,671 72,435 Brokerage commissions - - 14,841 Other expenses - - 8,164 Total expenses 1,836,146 1,656,208 1,844,628 Expenses waived by the Sponsor ( 307,565 ) ( 81,190 ) ( 2,500 ) Total expenses, net 1,528,581 1,575,018 1,842,128 Net income (loss) $ 14,343,186 $ 4,972,972 $ ( 1,091,945 ) Net income (loss) per share $ 1.22 $ 0.32 $ ( 0.11 ) Net income (loss) per weighted average share $ 1.20 $ 0.50 $ ( 0.11 ) Weighted average shares outstanding 11,913,086 9,949,731 9,768,840 The accompanying notes are an integral part of these financial statements. F-84 Table of Contents TEUCRIUM WHEAT FUND STATEMENTS OF CHANGES IN NET ASSETS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Operations Net income (loss) $ 14,343,186 $ 4,972,972 $ ( 1,091,945 ) Capital transactions Issuance of Shares 26,494,978 29,814,205 11,940,413 Redemption of Shares ( 35,093,155 ) ( 17,146,795 ) ( 13,762,145 ) Total capital transactions ( 8,598,177 ) 12,667,410 ( 1,821,732 ) Net change in net assets 5,745,009 17,640,382 ( 2,913,677 ) Net assets, beginning of period $ 69,876,578 $ 52,236,196 $ 55,149,873 Net assets, end of period $ 75,621,587 $ 69,876,578 $ 52,236,196 Net asset value per share at beginning of period $ 6.16 $ 5.84 $ 5.95 Net asset value per share at end of period $ 7.38 $ 6.16 $ 5.84 Creation of Shares 4,050,000 5,350,000 2,175,000 Redemption of Shares 5,150,000 2,950,000 2,500,000 The accompanying notes are an integral part of these financial statements. F-85 Table of Contents TEUCRIUM WHEAT FUND STATEMENTS OF CASH FLOWS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Cash flows from operating activities: Net income (loss) $ 14,343,186 $ 4,972,972 $ ( 1,091,945 ) Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: Net change in unrealized depreciation (appreciation) on commodity futures contracts 2,678,459 ( 669,686 ) ( 9,053,876 ) Changes in operating assets and liabilities: Due from broker - - 5,867,925 Interest receivable ( 1,736 ) ( 3,186 ) ( 64 ) Other assets ( 970 ) 4,209 9,245 Due to broker ( 2,357,395 ) ( 1,687,307 ) 4,258,410 Management fee payable to Sponsor 6,843 17,985 ( 5,633 ) Payable for purchases of commercial paper - - ( 9,969,591 ) Other liabilities ( 20,509 ) 21,875 ( 25,543 ) Net cash provided by (used in) operating activities 14,647,878 2,656,862 ( 10,011,072 ) Cash flows from financing activities: Proceeds from sale of Shares 26,802,808 29,506,375 11,940,413 Redemption of Shares ( 37,555,795 ) ( 14,684,155 ) ( 13,762,145 ) Net cash (used in) provided by financing activities ( 10,752,987 ) 14,822,220 ( 1,821,732 ) Net change in cash and cash equivalents 3,894,891 17,479,082 ( 11,832,804 ) Cash and cash equivalents, beginning of period 68,946,725 51,467,643 63,300,447 Cash and cash equivalents, end of period $ 72,841,616 $ 68,946,725 $ 51,467,643 The accompanying notes are an integral part of these financial statements. F-86 Table of Contents NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 1–- Organization and Operation Teucrium Wheat Fund (referred to herein as “WEAT” or the “Fund”) is a commodity pool that is a series of Teucrium Commodity Trust (“Trust”), a Delaware statutory trust formed on September 11, 2009. The Fund issues common units, called the “Shares,” representing fractional undivided beneficial interests in the Fund. The Fund continuously offers Creation Baskets consisting of 25,000 Shares at their Net Asset Value (“NAV”) to “Authorized Purchasers” through Foreside Fund Services, LLC, which is the distributor for the Fund (the “Distributor”). Authorized Purchasers sell such Shares, which are listed on the New York Stock Exchange (“NYSE”) Arca under the symbol “WEAT,” to the public at per-Share offering prices that reflect, among other factors, the trading price of the Shares on the NYSE Arca, the NAV of the Fund at the time the Authorized Purchaser purchased the Creation Baskets and the NAV at the time of the offer of the Shares to the public, the supply of and demand for Shares at the time of sale, and the liquidity of the markets for wheat interests. The Fund’s Shares trade in the secondary market on the NYSE Arca at prices that are lower or higher than their NAV per Share. The investment objective of WEAT is to have the daily changes in the NAV of the Fund’s Shares reflect the daily changes in the wheat market for future delivery as measured by the Benchmark. The Benchmark is a weighted average of the closing settlement prices for three futures contracts for wheat (“Wheat Futures Contracts”) that are traded on the Chicago Board of Trade (“CBOT”): WEAT Benchmark CBOT Wheat Futures Contract Weighting Second to expire 35 % Third to expire 30 % December following the third to expire 35 % The Fund commenced investment operations on September 19, 2011 and has a fiscal year ending December 31. The Fund’s sponsor is Teucrium Trading, LLC (the “Sponsor”). The Sponsor is responsible for the management of the Fund. The Sponsor is registered as a commodity pool operator (“CPO”) and a commodity trading adviser (“CTA”) with the Commodity Futures Trading Commission (“CFTC”) and is a member of the National Futures Association (“NFA”). On June 13, 2011, the Fund’s initial registration of 10,000,000 shares on Form S-1 was declared effective by the SEC. On September 19, 2011, the Fund listed its shares on the NYSE Arca under the ticker symbol “WEAT.” On the business day prior to that, the Fund issued 100,000 shares in exchange for $ 2,500,000 at the Fund’s initial NAV of $25 per share. The Fund also commenced investment operations on September 19, 2011 by purchasing commodity futures contracts traded on the CBOT. On December 31, 2010, the Fund had four shares outstanding, which were owned by the Sponsor. The current registration statement for WEAT was declared effective on April 29, 2019. This registration statement for WEAT registered an additional 30,000,000 shares. Subject to the terms of the Trust Agreement, Teucrium Trading, LLC, in its capacity as the Sponsor, may terminate a Fund at any time, regardless of whether the Fund has incurred losses, including, for instance, if it determines that the Fund’s aggregate net assets in relation to its operating expenses make the continued operation of the Fund unreasonable or imprudent. However, no level of losses will require the Sponsor to terminate a Fund. Note 2–- Principal Contracts and Agreements The Sponsor employs U.S. Bank N.A. as the Custodian for the Funds. The principal business address for U.S. Bank N.A is 1555 North Rivercenter Drive, Suite 302, Milwaukee, Wisconsin 53212. U.S. Bank N.A. is a Wisconsin state-chartered bank subject to regulation by the Board of Governors of the Federal Reserve System and the Wisconsin State Banking Department. The principal address for U.S. Bancorp Fund Services, LLC doing business as U.S. Bank Global Fund Services (“Global Fund Services”) is 615 E. Michigan Street, Milwaukee, WI 53202. In addition, effective on the Conversion Date, Global Fund Services, a wholly owned subsidiary of U.S. Bank, commenced serving as administrator for each Fund, performing certain administrative, accounting services, and preparing certain SEC reports on behalf of the Funds, and also became the registrar and transfer agent for each Fund’s Shares. For such services, U.S. Bank and Global Fund Services will receive an asset-based fee, subject to a minimum annual fee. F-87 Table of Contents For custody services, the Funds will pay to U.S. Bank N.A. 0.0075% of average gross assets up to $1 billion, and 0.0050% of average gross assets over $1 billion, annually, plus certain per-transaction charges. For Transfer Agency, Fund Accounting and Fund Administration services, which are based on the total assets for all the Funds in the Trust, the Funds will pay to Global Fund Services 0.05% of average gross assets on the first $500 million, 0.04% on the next $500 million, 0.03% on the next $2 billion, and 0.02% on the balance over $3 billion annually. A combined minimum annual fee of up to $47,000 for custody, transfer agency, accounting and administrative services is assessed per Fund. These services are recorded in custodian fees and expenses on the statements of operations. A summary of these expenses is included below. The Sponsor employs Foreside Fund Services, LLC (“Foreside” or the “Distributor”) as the Distributor for the Funds. The Distribution Services Agreement among the Distributor and the Sponsor calls for the Distributor to work with the Custodian in connection with the receipt and processing of orders for Creation Baskets and Redemption Baskets and the review and approval of all Fund sales literature and advertising materials. The Distributor and the Sponsor have also entered into a Securities Activities and Service Agreement (the “SASA”) under which certain employees and officers of the Sponsor are licensed as registered representatives or registered principals of the Distributor, under Financial Industry Regulatory Authority (“FINRA”) rules. For its services as the Distributor, Foreside receives a fee of 0.01% of the Fund’s average daily net assets and an aggregate annual fee of $100,000 for all Teucrium Funds, along with certain expense reimbursements. For its services under the SASA, Foreside receives a fee of $5,000 per registered representative and $1,000 per registered location. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below. Pursuant to a Consulting Services Agreement, Foreside Consulting Services, LLC, performs certain consulting support services for the Trust’s Sponsor. Additionally, Foreside Distributors, LLC performs certain distribution consulting services pursuant to a Distribution Consulting Agreement with the Trust’s Sponsor. E D & F Man Capital Markets, Inc. (“E D & F Man”) serves as the Underlying Funds’ clearing broker to execute and clear the Underlying Funds’ futures and provide other brokerage-related services. E D & F Man is registered as an FCM with the U.S. CFTC and is a member of the NFA. E D & F Man is also registered as a broker/dealer with the U.S. Securities and Exchange Commission and is a member of FINRA. E D & F Man is a clearing member of ICE Futures U.S., Inc., Chicago Board of Trade, Chicago Mercantile Exchange, New York Mercantile Exchange, and all other major United States commodity exchanges. For Corn, Soybean, Sugar and Wheat Futures Contracts E D & F Man is paid $9.00 per round turn . Prior to August 21, 2019, these expenses were recorded in brokerage commissions on the statements of operations. Beginning on August 21, 2019, these expenses were recognized on a per-trade basis. The half-turn is recognized as an unrealized loss on the statements of operations for contracts that have been purchased since the change in recognition, and a full turn is recognized as a realized loss on the statements of operations when a contract is sold. A summary of these expenses can be found below under the heading, Brokerage Commissions . The sole Trustee of the Trust is Wilmington Trust Company, a Delaware banking corporation. The Trustee will accept service of legal process on the Trust in the State of Delaware and will make certain filings under the Delaware Statutory Trust Act. For its services, the Trustee receives an annual fee of $3,300 from the Trust. These services are recorded in business permits and licenses fees on the statements of operations. A summary of these expenses is included below. The Sponsor employs Thales Capital Partners LLC (“Thales”) for distribution and solicitation-related services. Thales is registered as a Broker-Dealer with the SEC and a member of FINRA and the Securities Investor Protection Corporation (“SIPC”). Thales receives a quarterly fee of the higher of $18,750 or 0.10% of new assets raised in referred accounts for distribution and solicitation-related services. This fee based on new assets raised is determined by an agreed upon level of assets at the time of signing the contract. These services are recorded in distribution and marketing fees on the statements of operations. A summary of these expenses is included below: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Amount Recognized for Custody Services $ 74,742 $ 84,306 $ 96,947 Amount of Custody Services Waived $ 14,267 $ 5,939 $ - Amount Recognized for Distribution Services $ 38,391 $ 39,577 $ 44,421 Amount of Distribution Services Waived $ 20,120 $ 9,177 $ - Amount Recognized for Wilmington Trust $ 789 $ 565 $ 837 Amount of Wilmington Trust Waived $ - $ 565 $ - Amount Recognized for Thales $ 59,673 $ 24,841 $ - Amount of Thales Waived $ 26,449 $ 8,462 $ - F-88 Table of Contents Note 3–- Summary of Significant Accounting Policies Basis of Presentation The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) as detailed in the Financial Accounting Standards Board’s Accounting Standards Codification. Revenue Recognition Commodity futures contracts are recorded on the trade date. All such transactions are recorded on the identified cost basis and marked to market daily. Unrealized appreciation or depreciation on commodity futures contracts are reflected in the statements of assets and liabilities as the difference between the original contract amount and the fair market value as of the last business day of the year or as of the last date of the financial statements. Changes in the appreciation or depreciation between periods are reflected in the statements of operations. The Fund seeks to earn interest on its assets denominated in U.S. dollars on deposit with the Futures Commission Merchant. In addition, the Fund earns interest on funds held at the custodian and at other financial institutions at prevailing market rates for such investments. The Sponsor invests a portion of cash in commercial paper, which is deemed a cash equivalent based on the rating and duration of contracts as described in the notes to the financial statements and reflected in cash and cash equivalents on the statements of assets and liabilities and in cash and cash equivalents on the statements of cash flows. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. The Sponsor invests a portion of the cash held by the broker in short term Treasury Bills as collateral for open futures contracts. Accretion on these investments is recognized using the effective interest method in U.S. dollars and included in interest income on the statements of operations. Brokerage Commissions Beginning on August 21, 2019, the Sponsor began recognizing the expense for brokerage commissions for futures contract trades on a per-trade basis. Prior to the change, brokerage commissions on all open commodity futures contracts were accrued on the trade date and on a full-turn basis. The below table shows the amounts included on the statements of operations as total brokerage commissions paid inclusive of unrealized loss as of December 31, 2019, 2020, and 2021. WEAT Year Ending December 31, 2021 $ 47,448 Year Ending December 31, 2020 $ 40,741 Year Ending December 31, 2019 $ 41,004 Income Taxes For federal income tax purposes, the Fund will be treated as a publicly traded partnership. A publicly traded partnership is generally treated as a corporation for federal income tax purposes unless 90% or more of the publicly traded partnership’s gross income for each taxable year of its existence consists of qualifying income as defined in section 7704(d) of the Internal Revenue Code of 1986, as amended. Qualifying income is defined as generally including, in pertinent part, interest (other than from a financial business), dividends, and gains from the sale or disposition of capital assets held for the production of interest or dividends. In the case of a partnership of which a principal activity is the buying and selling of commodities, other than as inventory, or of futures, forwards and options with respect to commodities, qualifying income also includes income and gains from commodities and from futures, forwards, options with respect to commodities and, provided the partnership is a trader or investor with respect to such assets, swaps and other notional principal contracts with respect to commodities. The Fund expects that at least 90% of the Fund’s gross income for each taxable year will consist of qualifying income and that the Fund will be taxed as a partnership for federal income tax purposes. The Fund does not record a provision for income taxes because the shareholders report their share of the Fund’s income or loss on their income tax returns. The financial statements reflect the Fund’s transactions without adjustment, if any, required for income tax purposes. The Fund is required to determine whether a tax position is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The Fund files an income tax return in the U.S. federal jurisdiction and may file income tax returns in various U.S. states and foreign jurisdictions. For all tax years 2018 to 2021, the Fund remains subject to income tax examinations by major taxing authorities. The tax benefit recognized is measured as the largest amount of benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. De-recognition of a tax benefit previously recognized results in the Fund recording a tax liability that reduces net assets. Based on its analysis, the Fund has determined that it has not incurred any liability for unrecognized tax benefits as of and for the years ended December 31, 2021, 2020, 2019, and 2018. However, the Fund’s conclusions regarding this policy may be subject to review and adjustment at a later date based on factors including, but not limited to, ongoing analysis of and changes to tax laws, regulations, and interpretations thereof. F-89 Table of Contents The Fund recognizes interest accrued related to unrecognized tax benefits and penalties related to unrecognized tax benefits in income tax fees payable, if assessed. No interest expense or penalties have been recognized as of and for the years ended December 31, 2021, 2020, 2019, and 2018. The Fund may be subject to potential examination by U.S. federal, U.S. state, or foreign jurisdictional authorities in the area of income taxes. These potential examinations may include questioning the timing and amount of deductions, the nexus of income among various tax jurisdictions, and compliance with U.S. federal, U.S. state and foreign tax laws. Creations and Redemptions Authorized Purchasers may purchase Creation Baskets consisting of 25,000 shares from the Fund. The amount of the proceeds required to purchase a Creation Basket will be equal to the NAV of the shares in the Creation Basket determined as of 4:00 p.m. (EST) on the day the order to create the basket is properly received. Authorized Purchasers may redeem shares from the Fund only in blocks of 25,000 shares called “Redemption Baskets.” The amount of the redemption proceeds for a Redemption Basket will be equal to the NAV of the shares in the Redemption Basket determined as of 4:00 p.m. (EST) on the day the order to redeem the basket is properly received. The Fund receives or pays the proceeds from shares sold or redeemed within three business days after the trade date of the purchase or redemption. The amounts due from Authorized Purchasers are reflected in the Fund’s statements of assets and liabilities as capital shares receivable. Amounts payable to Authorized Purchasers upon redemption are reflected in the Fund’s statements of assets and liabilities as payable for shares redeemed. As outlined in the most recent Form S-1 filing, 50,000 shares represent two Redemption Baskets for the Fund and a minimum level of shares. If the Fund experienced redemptions that caused the number of Shares outstanding to decrease to the minimum level of Shares required to be outstanding, until the minimum number of Shares is again exceeded through the purchase of a new Creation Basket, there can be no more redemptions by an Authorized Purchaser. Allocation of Shareholder Income and Losses Profit or loss is allocated among the shareholders of the Fund in proportion to the number of shares each shareholder holds as of the close of each month. Cash and Cash Equivalents Cash equivalents are highly liquid investments with original maturity dates of 90 days or less when acquired. The Fund reported its cash equivalents in the statements of assets and liabilities at market value, or at carrying amounts that approximate fair value, because of their highly liquid nature and short-term maturities. Each Fund that is a series of the Trust has the balance of its cash equivalents on deposit with financial institutions. The Trust holds a balance in money market funds that is included in cash and cash equivalents on the statements of assets and liabilities. The Sponsor invests a portion of the available cash for the Funds in alternative demand deposit savings accounts, which are classified as cash and not as cash equivalents. Assets deposited with the bank may, at times, exceed federally insured limits. The Sponsor invests a portion of the available cash for the Funds in investment grade commercial paper with durations of 90 days or less, which is classified as a cash equivalent and is not FDIC insured. The Sponsor may invest a portion of the cash held by the FCM in short term Treasury Bills as collateral for open futures contracts, which is classified as a cash equivalent and is not FDIC insured. December 31, 2021 December 31, 2020 December 31, 2019 Money Market Funds $ 5,284,993 $ 16,227,402 $ 119 Demand Deposit Savings Accounts 30,064,031 17,730,566 29,538,697 Commercial Paper 37,492,592 34,988,757 19,980,099 Treasury Bills - - 1,948,728 Total cash and cash equivalents as presented on the Statement of Assets and Liabilities $ 72,841,616 $ 68,946,725 $ 51,467,643 F-90 Table of Contents Due from/to Broker The amount recorded by the Fund for the amount due from and to the clearing broker includes, but is not limited to, cash held by the broker, amounts payable to the clearing broker related to open transactions and payables for commodities futures accounts liquidating to an equity balance on the clearing broker’s records and amounts of brokerage commissions paid and recognized as unrealized losses. Margin is the minimum amount of funds that must be deposited by a commodity interest trader with the trader’s broker to initiate and maintain an open position in futures contracts. A margin deposit acts to assure the trader’s performance of the futures contracts purchased or sold. Futures contracts are customarily bought and sold on initial margin that represents a relatively small percentage of the aggregate purchase or sales price of the contract. Because of such low margin requirements, price fluctuations occurring in the futures markets may create profits and losses that, in relation to the amount invested, are greater than those in other forms of investment or speculation. As discussed below, adverse price changes in a futures contract may result in margin requirements that greatly exceed the initial margin. In addition, the amount of margin required in connection with a particular futures contract is set from time to time by the exchange on which the contract is traded and may be modified from time to time by the exchange during the term of the contract. Brokerage firms, such as the Fund’s clearing brokers, carrying accounts for traders in commodity interest contracts generally require higher amounts of margin as a matter of policy to further protect themselves. Over-the-counter trading generally involves the extension of credit between counterparties, so the counterparties may agree to require the posting of collateral by one or both parties to address credit exposure. When a trader purchases an option, there is no margin requirement; however, the option premium must be paid in full. When a trader sells an option, on the other hand, he or she is required to deposit margin in an amount determined by the margin requirements established for the underlying interest and, in addition, an amount substantially equal to the current premium for the option. The margin requirements imposed on the selling of options, although adjusted to reflect the probability that out-of-the-money options will not be exercised, can in fact be higher than those imposed in dealing in the futures markets directly. Complicated margin requirements apply to spreads and conversions, which are complex trading strategies in which a trader acquires a mixture of options positions and positions in the underlying interest. Ongoing or “maintenance” margin requirements are computed each day by a trader’s clearing broker. When the market value of a particular open futures contract changes to a point where the margin on deposit does not satisfy maintenance margin requirements, a margin call is made by the broker. If the margin call is not met within a reasonable time, the broker may close out the trader’s position. With respect to the Fund’s trading, the Fund (and not its shareholders personally) is subject to margin calls. Finally, many major U.S. exchanges have passed certain cross margining arrangements involving procedures pursuant to which the futures and options positions held in an account would, in the case of some accounts, be aggregated and margin requirements would be assessed on a portfolio basis, measuring the total risk of the combined positions. Calculation of Net Asset Value The Fund’s NAV is calculated by: · Taking the current market value of its total assets and · Subtracting any liabilities The administrator, Global Fund Services, calculates the NAV of the Fund once each trading day. It calculates the NAV as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The NAV for a particular trading day is released after 4:15 p.m. (EST). F-91 Table of Contents In determining the value of Wheat Futures Contracts, the administrator uses the CBOT closing price. The administrator determines the value of all other Fund investments as of the earlier of the close of the NYSE or 4:00 p.m. (EST). The value of over the counter wheat interests is determined based on the value of the commodity or futures contract underlying such wheat interest, except that a fair value may be determined if the Sponsor believes that the Fund is subject to significant credit risk relating to the counterparty to such wheat interest. For purposes of financial statements and reports, the Sponsor will recalculate the NAV where necessary to reflect the “fair value” of a Futures Contract when the Futures Contract closes at its price fluctuation limit for the day. Treasury securities held by the Fund are valued by the administrator using values received from recognized third-party vendors and dealer quotes. NAV includes any unrealized profit or loss on open wheat interests and any other income or expense accruing to the Fund but unpaid or not received by the Fund. Sponsor Fee, Allocation of Expenses and Related Party Transactions The Sponsor is responsible for investing the assets of the Fund in accordance with the objectives and policies of the Fund. In addition, the Sponsor arranges for one or more third parties to provide administrative, custodial, accounting, transfer agency and other necessary services to the Trust and the Funds. In addition, the Sponsor elected not to outsource services directly attributable to the Trust and the Funds such as accounting, financial reporting, regulatory compliance and trading activities. In addition, the Fund is contractually obligated to pay a monthly management fee to the Sponsor, based on average daily net assets, at a rate equal to 1.00% per annum. The Fund generally pays for all brokerage fees, taxes and other expenses, including licensing fees for the use of intellectual property, registration or other fees paid to the SEC, FINRA, formerly the National Association of Securities Dealers, or any other regulatory agency in connection with the offer and sale of subsequent Shares after its initial registration and all legal, accounting, printing and other expenses associated therewith. The Fund also pays its portion of the fees and expenses associated with the Trust’s tax accounting and reporting requirements. Certain aggregate expenses common to all Funds within the Trust are allocated by the Sponsor to the respective Funds based on activity drivers deemed most appropriate by the Sponsor for such expenses, including but not limited to relative assets under management and creation order activity. These aggregate common expenses include, but are not limited to, legal, auditing, accounting and financial reporting, tax-preparation, regulatory compliance, trading activities, and insurance costs, as well as fees paid to the Distributor, which are included in the related line item in the statements of operations. A portion of these aggregate common expenses are related to the Sponsor or related parties of principals of the Sponsor; these are necessary services to the Funds, which are primarily the cost of performing accounting and financial reporting, regulatory compliance, and trading activities that are directly attributable to the Fund. Such expenses are primarily recorded as distribution and marketing fees on the statements of operations. All asset-based fees and expenses for the Funds are calculated on the prior day’s net assets. Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 Recognized Related Party Transactions $ 478,989 $ 503,823 $ 557,131 Waived Related Party Transactions $ 134,898 $ 27,789 $ 2,500 The Sponsor has the ability to elect to pay certain expenses on behalf of the Funds or waive the management fee. This election is subject to change by the Sponsor, at its discretion. Expenses paid by the Sponsor and Management fees waived by the Sponsor are, if applicable, presented as waived expenses in the statements of operations for each Fund. The Sponsor has determined that there would be no recovery sought for the amounts below in any future period: WEAT Year Ended December 31, 2021 $ 307,565 Year Ended December 31, 2020 $ 81,190 Year Ended December 31, 2019 $ 2,500 Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of the revenue and expenses during the reporting period. Actual results could differ from those estimates. F-92 Table of Contents Fair Value–- Definition and Hierarchy In accordance with U.S. GAAP, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. In determining fair value, the Fund uses various valuation approaches. In accordance with U.S. GAAP, a fair value hierarchy for inputs is used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s assumptions about the inputs market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value hierarchy is categorized into three levels based on the inputs as follows: Level 1 –- Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 financial instruments. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these financial instruments does not entail a significant degree of judgment. Level 2 –- Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Level 3 –- Valuations based on inputs that are unobservable and significant to the overall fair value measurement. The availability of valuation techniques and observable inputs can vary from financial instrument to financial instrument and is affected by a wide variety of factors including, the type of financial instrument, whether the financial instrument is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Because of the inherent uncertainty of valuation, those estimated values may be materially higher or lower than the values that would have been used had a ready market for the financial instruments existed. Accordingly, the degree of judgment exercised by the Fund in determining fair value is greatest for financial instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy, within which the fair value measurement in its entirety falls, is determined based on the lowest level input that is significant to the fair value measurement. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, the Fund’s own assumptions are set to reflect those that market participants would use in pricing the asset or liability at the measurement date. The Fund uses prices and inputs that are current as of the measurement date, including periods of market dislocation. In periods of market dislocation, the observability of prices and inputs may be reduced for many financial instruments. This condition could cause a financial instrument to be reclassified to a lower level within the fair value hierarchy. When such a situation exists on a quarter close, the Sponsor will calculate the NAV on a particular day using the Level 1 valuation but will later recalculate the NAV for the impacted Fund based upon the valuation inputs from these alternative verifiable sources (Level 2 or Level 3) and will report such NAV in its applicable financial statements and reports. On December 31, 2021 and 2020, in the opinion of the Trust and the Fund, the reported value of the Wheat Futures Contracts traded on the CBOT fairly reflected the value of the Wheat Futures Contracts held by the Fund, and no adjustments were necessary. The determination is made as of the settlement of the futures contracts on the last day of trading for the reporting period. In making the determination of a Level 1 or Level 2 transfer, the Fund considers the average volume of the specific underlying futures contracts traded on the relevant exchange for the years being reported. For the period ended June 30, 2020, the DEC21 Wheat Futures Contracts traded on the CBOT did not, in the opinion of the Trust and WEAT, trade in an actively traded futures market as defined in the policy of the Trust and WEAT for the entire period during which they were held. Accordingly, the Trust and WEAT classified these as a Level 2 asset for the period ended June 30, 2020 due to the quarterly average daily volume for the contract. These Wheat contracts transferred back to a Level 1 asset for the period ended September 30, 2020. The Fund records its derivative activities at fair value. Gains and losses from derivative contracts are included in the statements of operations. Derivative contracts include futures contracts related to commodity prices. Futures, which are listed on a national securities exchange, such as the CBOT and the ICE, or reported on another national market, are generally categorized in Level 1 of the fair value hierarchy. OTC derivatives contracts (such as forward and swap contracts) which may be valued using models, depending on whether significant inputs are observable or unobservable, are categorized in Levels 2 or 3 of the fair value hierarchy. Expenses Expenses are recorded using the accrual method of accounting. F-93 Table of Contents Net Income (Loss) per Share Net income (loss) per Share is the difference between the NAV per unit at the beginning of each period and at the end of each period. The weighted average number of Shares outstanding was computed for purposes of disclosing net income (loss) per weighted average Share. The weighted average Shares are equal to the number of Shares outstanding at the end of the period, adjusted proportionately for Shares created or redeemed based on the amount of time the Shares were outstanding during such period. New Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2021-05: “Leases (Topic 842).” Under the amended guidance, a lessor should classify and account for a lease with variable lease payments that don’t depend on an index or a rate as an operating lease if the lease would’ve been classified as a sales-type lease or a direct financing lease in accordance with the lease classification guidance in Topic 842 and the lessor would’ve otherwise recognized a day-one loss. The amendment was early adopted for the quarter ended September 30, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-10: “Codification Improvements.” The amendment improves the disclosure guidance in appropriate Disclosure Sections, without resulting in changes to current GAAP. The amendment is effective for annual periods beginning after December 15, 2020. The amendment was adopted for the quarter ended March 31, 2021; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued Accounting Standards Update (“ASU”) 2020-02: “Financial Instruments Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). The amendment updates and adds language to ASU 2016-02. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2020-01: Investments Equity Securities (Topic 321), Investments Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) Clarifying the Interactions between Topic 321, Topic 323, and Topic 815. The amendments clarify the treatment of transactions that require a company to apply or discontinue the equity method of accounting. The amendments were early adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued 2019-07: “Codification Updates to SEC Sections: Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 3310532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates.” The amendments improve, update, and simplify the SEC’s regulations on financial reporting and disclosure. The amendments were adopted for the quarter ended September 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-04: “Codification Improvements to Topic 326, Financial Instruments Credit Losses, Topic 815, Derivatives and hedging, and Topic 825, Financial Instruments.” The amendments clarify and improve areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement, specifically relating to ASU 201712. The amendments were early adopted for the quarter ended June 30, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2019-01: “Leases (Topic 842): Codification Improvements. These amendments align the guidance for fair value of underlying assets by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2018-13: “Fair Value Measurement (Topic 820): Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement. These amendments modify public and private company fair value disclosure requirements. While some disclosures were removed or modified, others were added. The guidance is a result of the FASB’s test of the principals developed to improve the effectiveness of disclosures in the notes to the financial statements. The amendments were adopted for the quarter ended March 31, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. F-94 Table of Contents The FASB issued ASU 2017-13, “Revenue Recognition (Topic 605), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments”. The amendment amends the early adoption date option for certain companies related to adoption of ASU No. 2014-09 and ASU No. 2016-02. The SEC staff stated the SEC would not object to a public business entity that otherwise would not meet the definition of a public business entity except for a requirement to include or the inclusion of its financial statements or financial information in another entity’s filing with the SEC adopting ASC Topic 842 for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. The amendments were adopted for the quarter ended September 30, 2020; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities”. These amendments refine and expand hedge accounting for both financial (e.g., interest rate) and commodity risks. Its provisions create more transparency around how economic results are presented, both on the face of the financial statements and in the footnotes. It also makes certain targeted improvements to simplify the application of hedge accounting guidance. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. The FASB issued ASU 2016-02, “Leases (Topic 842).” The amendments in this update increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments were adopted for the quarter ended March 31, 2019; the adoption did not have a material impact on the financial statements and disclosures of the Trust or the Fund. Note 4–- Fair Value Measurements The Fund’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy as described in the Fund’s significant accounting policies in Note 3. The following table presents information about the Fund’s assets and liabilities measured at fair value as of December 31, 2021 and December 31, 2020: December 31, 2021 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Cash Equivalents $ 42,777,585 $ - $ - $ 42,777,585 Wheat Futures contracts 3,714,672 - - 3,714,672 Total $ 46,492,257 $ - $ - $ 46,492,257 Liabilities: Level 1 Level 2 Level 3 Balance as of December 31, 2021 Wheat Futures contracts $ 654,969 $ - $ - $ 654,969 December 31, 2020 Assets: Level 1 Level 2 Level 3 Balance as of December 31, 2020 Cash Equivalents $ 51,216,159 $ - $ - $ 51,216,159 Wheat Futures contracts 5,738,162 - - 5,738,162 Total $ 56,954,321 $ - $ - $ 56,954,321 For the years ended December 31, 2021 and 2020, the Funds did not have any significant transfers between any of the levels of the fair value hierarchy, except for the DEC 21 CBOT Wheat contracts, which were reflected as a Level 2 asset for the period ended June 30, 2020 due to the quarterly average daily volume for the contract. These transferred back to a Level 1 asset for the quarter ending September 30, 2020. F-95 Table of Contents See the Fair Value–- Definition and Hierarchy section in Note 3 above for an explanation of the transfers into and out of each level of the fair value hierarchy. Note 5–- Derivative Instruments and Hedging Activities In the normal course of business, the Fund utilizes derivative contracts in connection with its proprietary trading activities. Investments in derivative contracts are subject to additional risks that can result in a loss of all or part of an investment. The Fund’s derivative activities and exposure to derivative contracts are classified by the following primary underlying risks: interest rate, credit, commodity price, and equity price risks. In addition to its primary underlying risks, the Fund is also subject to additional counterparty risk due to inability of its counterparties to meet the terms of their contracts. For the years ended December 31, 2021 and 2020, the Fund invested only in commodity futures contracts. Futures Contracts The Fund is subject to commodity price risk in the normal course of pursuing its investment objectives. A futures contract represents a commitment for the future purchase or sale of an asset at a specified price on a specified date. The purchase and sale of futures contracts requires margin deposits with an FCM. Subsequent payments (variation margin) are made or received by the Fund each day, depending on the daily fluctuations in the value of the contract, and are recorded as unrealized gains or losses by the Fund. Futures contracts may reduce the Fund’s exposure to counterparty risk since futures contracts are exchange-traded; and the exchange’s clearinghouse, as the counterparty to all exchange-traded futures, guarantees the futures against default. The Commodity Exchange Act requires an FCM to segregate all customer transactions and assets from the FCM’s proprietary activities. A customer’s cash and other equity deposited with an FCM are considered commingled with all other customer funds subject to the FCM’s segregation requirements. In the event of an FCM’s insolvency, recovery may be limited to the Fund’s pro rata share of segregated customer funds available. It is possible that the recovery amount could be less than the total of cash and other equity deposited. The following table discloses information about offsetting assets and liabilities presented in the statements of assets and liabilities to enable users of these financial statements to evaluate the effect or potential effect of netting arrangements for recognized assets and liabilities. These recognized assets and liabilities are presented as defined in FASB ASU No. 2011-11 “Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities” and subsequently clarified in FASB ASU 2013-01 “Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities.” The following table also identifies the fair value amounts of derivative instruments included in the statements of assets and liabilities as derivative contracts, categorized by primary underlying risk and held by the FCM, E D & F Man as of December 31, 2021 and 2020. *The amount of collateral presented in Collateral, Due from Broker, is limited to the liability for the futures contracts and accordingly does not include the excess collateral pledged. Offsetting of Financial Assets and Derivative Assets as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Wheat futures contracts $ 3,714,672 $ - $ 3,714,672 $ 654,969 $ 213,708 $ 2,845,995 F-96 Table of Contents Offsetting of Financial Liabilities and Derivative Liabilities as of December 31, 2021 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Liabilities Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due from Broker* Net Amount Commodity Price Wheat futures contracts $ 654,969 $ - $ 654,969 $ 654,969 $ - $ - Offsetting of Financial Assets and Derivative Assets as of December 31, 2020 (i) (ii) (iii) = (i-ii) (iv) (v) = (iii)-(iv) Gross Amount Not Offset in the Statement of Assets and Liabilities Description Gross Amount of Recognized Assets Gross Amount Offset in the Statement of Assets and Liabilities Net Amount Presented in the Statement of Assets and Liabilities Futures Contracts Available for Offset Collateral, Due to Broker Net Amount Commodity Price Wheat futures contracts $ 5,738,162 $ - $ 5,738,162 $ - $ 2,571,103 $ 3,167,059 The following is a summary of realized and net change in unrealized gains (losses) of the derivative instruments utilized by the Fund: Year ended December 31, 2021 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Depreciation on Commodity Futures Contracts Commodity Price Wheat futures contracts 18,418,461 ( 2,678,459 ) Year ended December 31, 2020 Realized Gain on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Wheat futures contracts $ 5,461,905 $ 669,686 Year ended December 31, 2019 Realized Loss on Commodity Futures Contracts Net Change in Unrealized Appreciation on Commodity Futures Contracts Commodity Price Wheat futures contracts $ ( 9,623,635 ) $ 9,053,876 F-97 Table of Contents Volume of Derivative Activities The average notional market value categorized by primary underlying risk for all futures contracts held was $80.9 million in 2021, $56.6 million in 2020, and $53.1 million in 2019. Note 6–- Financial Highlights The following table presents per share performance data and other supplemental financial data for the years ended December 31, 2021, 2020 and 2019. This information has been derived from information presented in the financial statements and is presented with total expenses gross of expenses waived by the Sponsor and with total expenses net of expenses waived by the Sponsor, as appropriate. Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Per Share Operation Performance Net asset value at beginning of period $ 6.16 $ 5.84 $ 5.95 Income (loss) from investment operations: Investment income 0.01 0.04 0.14 Net realized and unrealized gain (loss) on commodity futures contracts 1.34 0.44 ( 0.06 ) Total expenses, net ( 0.13 ) ( 0.16 ) ( 0.19 ) Net increase (decrease) in net asset value 1.22 0.32 ( 0.11 ) Net asset value at end of period $ 7.38 $ 6.16 $ 5.84 Total Return 19.84 % 5.48 % ( 1.84 )% Ratios to Average Net Assets (Annualized) Total expenses 2.27 % 2.98 % 3.45 % Total expenses, net 1.89 % 2.84 % 3.44 % Net investment loss ( 1.73 )% ( 2.09 )% ( 0.97 )% The financial highlights per share data are calculated consistent with the methodology used to calculate asset-based fees and expenses. Note 7–- Organizational and Offering Costs Expenses incurred in organizing of the Trust and the initial offering of the Shares of the Fund, including applicable SEC registration fees, were borne directly by the Sponsor. The Fund is not obligated to reimburse these costs to the Sponsor. The Fund bears its own costs incurred in connection with the registration and offering of additional shares, which include registration fees, legal fees, underwriting fees and other similar costs. Note 8–- Subsequent Events Management has evaluated the financial statements for the year-ended December 31, 2021 for subsequent events through the date of this filing and noted no material events requiring either recognition through the date of the filing or disclosure herein for the Fund other than those noted below: The total net assets of the Fund increased by $273,082,993, or 361%, for the period December 31, 2021 to March 15, 2022. This was driven by a 45% increase in the NAV per share and a 219% increase in the shares outstanding. In late February 2022, Russia invaded Ukraine, significantly amplifying already existing geopolitical tensions among Russia and other countries in the region and in the West. The responses of countries and political bodies to Russia’s actions, the larger overarching tensions, and Ukraine’s military response and the potential for wider conflict may increase financial market volatility generally, have severe adverse effects on regional and global economic markets, and cause volatility in the price of agricultural commodities, agricultural commodity futures and the share price of the Fund. On March 7, 2022, the Teucrium Wheat Fund sold all available shares for purchase by its Authorized Participants and suspended creations. On March 9, 2022, the SEC accelerated a new registration statement filed by the Fund for an indefinite amount of new shares and the offer and sale of the Fund’s shares commenced. F-98 Table of Contents GRANT THORNTON LLP 757 Third Ave., 9th Floor New York, NY 10017 D +1 212 599 0100 F +1 212 370 4520 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Sponsor and Shareholders of Teucrium Agricultural Fund Opinion on the financial statements We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Teucrium Agricultural Fund (the “Fund”) as of December 31, 2021 and 2020, the related statements of operations, changes in net assets, and cash flows for each of the three years in the period ended December 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2021 and 2020, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2021, in conformity with accounting principles generally accepted in the United States of America. Basis for opinion These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion. Critical audit matters Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters. /s/ GRANT THORNTON LLP We have served as the Fund’s auditor since 2014. New York, New York March 16, 2022 GT.COM Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms are separate legal entities and are not a worldwide partnership. F-99 Table of Contents TEUCRIUM AGRICULTURAL FUND STATEMENTS OF ASSETS AND LIABILITIES December 31, 2021 December 31, 2020 Assets Cash equivalents $ 4,801 2,786 Interest receivable 3 - Other assets 30 1 Equity in trading accounts: Investments in securities, at fair value (cost $ 12,799,498 and $ 1,586,899 as of December 31, 2021 and December 31, 2020, respectively) 14,178,019 1,582,262 Total assets 14,182,853 1,585,049 Liabilities Other liabilities 3,198 661 Net assets $ 14,179,655 $ 1,584,388 Shares outstanding 525,002 75,002 Shares authorized 4,075,000 4,612,500 Net asset value per share $ 27.01 $ 21.12 Market value per share $ 26.94 $ 21.21 The accompanying notes are an integral part of these financial statements. F-100 Table of Contents TEUCRIUM AGRICULTURAL FUND SCHEDULE OF INVESTMENTS December 31, 2021 Percentage of Description: Assets Fair Value Net Assets Shares Exchange-traded funds Teucrium Corn Fund $ 3,537,560 24.95 % 163,930 Teucrium Soybean Fund 3,538,006 24.96 155,374 Teucrium Sugar Fund 3,591,878 25.33 389,317 Teucrium Wheat Fund 3,510,575 24.76 475,836 Total exchange-traded funds (cost: $12,799,498) $ 14,178,019 100.00 % Cash equivalents Money market funds First American Government Obligations Fund - Class X 0.026% (cost: $4,801) $ 4,801 0.03 % 4,801 The accompanying notes are an integral part of these financial statements. F-101 Table of Contents TEUCRIUM AGRICULTURAL FUND SCHEDULE OF INVESTMENTS December 31, 2020 Percentage of Description: Assets Fair Value Net Assets Shares Exchange-traded funds Teucrium Corn Fund $ 401,787 25.36 % 25,858 Teucrium Soybean Fund 401,177 25.32 20,581 Teucrium Sugar Fund 383,816 24.23 57,124 Teucrium Wheat Fund 395,482 24.96 64,237 Total exchange-traded funds (cost: $1,586,899) $ 1,582,262 99.87 % Cash equivalents Money market funds First American Government Obligations Fund - Class X (cost: $2,786) $ 2,786 0.18 % 2,786 The accompanying notes are an integral part of these financial statements. F-102 Table of Contents TEUCRIUM AGRICULTURAL FUND STATEMENTS OF OPERATIONS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Income Realized and unrealized gain (loss) on trading of securities: Realized gain (loss) on securities $ 24,928 $ ( 345,117 ) $ ( 109,378 ) Net change in unrealized appreciation on securities 1,383,158 427,132 66,117 Interest income 18 11 63 Total income (loss) 1,408,104 82,026 ( 43,198 ) Expenses Professional fees 22,383 11,372 10,380 Distribution and marketing fees 69,107 13,599 17,185 Custodian fees and expenses 7,579 1,874 2,159 Business permits and licenses fees 14,935 14,138 12,030 General and administrative expenses 4,899 1,403 1,491 Other expenses 9 10 54 Total expenses 118,912 42,396 43,299 Expenses waived by the Sponsor ( 105,722 ) ( 39,833 ) ( 40,517 ) Total expenses, net 13,190 2,563 2,782 Net income (loss) $ 1,394,914 $ 79,463 $ ( 45,980 ) Net income (loss) per share $ 5.89 $ 1.40 $ ( 0.61 ) Net income (loss) per weighted average share $ 4.60 $ 1.12 $ ( 0.61 ) Weighted average shares outstanding 303,324 70,733 75,002 The accompanying notes are an integral part of these financial statements. F-103 Table of Contents TEUCRIUM AGRICULTURAL FUND STATEMENTS OF CHANGES IN NET ASSETS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Operations Net income (loss) $ 1,394,914 $ 79,463 $ ( 45,980 ) Capital transactions Issuance of Shares 13,467,624 235,946 - Redemption of Shares ( 2,267,271 ) ( 209,801 ) - Total capital transactions 11,200,353 26,145 - Net change in net assets 12,595,267 105,608 ( 45,980 ) Net assets, beginning of period $ 1,584,388 $ 1,478,780 $ 1,524,760 Net assets, end of period $ 14,179,655 $ 1,584,388 $ 1,478,780 Net asset value per share at beginning of period $ 21.12 $ 19.72 $ 20.33 Net asset value per share at end of period $ 27.01 $ 21.12 $ 19.72 Creation of Shares 537,500 12,500 - Redemption of Shares 87,500 12,500 - The accompanying notes are an integral part of these financial statements. F-104 Table of Contents TEUCRIUM AGRICULTURAL FUND STATEMENTS OF CASH FLOWS Year ended Year ended Year ended December 31, 2021 December 31, 2020 December 31, 2019 Cash flows from operating activities: Net income (loss) $ 1,394,914 $ 79,463 $ ( 45,980 ) Adjustments to reconcile net income (loss) to net cash used in operating activities: Net change in unrealized appreciation on securities ( 1,383,158 ) ( 427,132 ) ( 66,117 ) Changes in operating assets and liabilities: Net sale of investments in securities ( 11,212,599 ) 321,750 112,523 Interest receivable ( 3 ) 3 2 Other assets ( 29 ) ( 1 ) - Other liabilities 2,537 ( 75 ) ( 657 ) Net cash used in operating activities ( 11,198,338 ) ( 25,992 ) ( 229 ) Cash flows from financing activities: Proceeds from sale of Shares 13,467,624 235,946 - Redemption of Shares ( 2,267,271 ) ( 209,801 ) - Net cash provided by financing activities 11,200,353 26,145 - Net change in cash equivalents 2,015 153 ( 229 ) Cash equivalents, beginning of period 2,786 2,633 2,862 Cash equivalents, end of period $ 4,801 $ 2,786 $ 2,633 The accompanying notes are an integral part of these financial statements. F-105 Table of Contents NOTES TO FINANCIAL STATEMENTS December 31, 2021 Note 1 - Organization and Operation Teucrium Agricultural Fund (referred to herein as “TAGS” or the “Fund”) is a series of Teucrium Commodity Trust (“Trust”), a Delaware statutory trust organized on September 11, 2009. The Fund operates pursuant to the Trust’s Fifth Amended and Restated Declaration of Trust and Trust Agreement (the “Trust Agreement”). The Fund was formed on March 29, 2011 and is managed and controlled by Teucrium Trading, LLC (the “Sponsor”). The Sponsor is a limited liability company formed in Delaware on July 28, 2009. The Sponsor is registered as a commodity pool operator (“CPO”) and a commodity trading adviser (“CTA”) with the Commodity Futures Trading Commission (“CFTC”) and is a member of the National Futures Association (“NFA”). On April 22, 2011, a registration statement was filed with the Securities and Exchange Commission (“SEC”). On February 10, 2012, the Fund’s initial registration of 5,000,000 shares on Form S-1 was declared effective by the SEC. On March 28, 2012, the Fund listed its shares on the NYSE Arca under the ticker symbol “TAGS.” On the business day prior to that, the Fund issued 300,000 shares in exchange for $ 15,000,000 at the Fund’s initial NAV of $50 per share. The Fund also commenced investment operations on March 28, 2012 by purchasing shares of the Underlying Funds. On December 31, 2011, the Fund had two shares outstanding, which were owned by the Sponsor. The current registration statement for TAGS was declared effective on April 30, 2021. The investment objective of the TAGS is to have the daily changes in percentage terms of the NAV of its Shares reflect the daily changes in percentage terms of a weighted average (the “Underlying Fund Average”) of the NAVs per share of four other commodity pools that are series of the Trust and are sponsored by the Sponsor: the Teucrium Corn Fund, the Teucrium Wheat Fund, the Teucrium Soybean Fund and the Teucrium Sugar Fund (collectively, the “Underlying Funds”). The Underlying Fund Average will have a weighting of 25% to each Underlying Fund, and the Fund’s assets will be rebalanced, generally on a daily basis, to maintain the approximate 25% allocation to each Underlying Fund: TAGS Benchmark Underlying Fund Weighting CORN 25 % SOYB 25 % CANE 25 % WEAT 25 % The Fund seeks to provide daily investment results that reflect the combined daily performance of the Underlying Funds. Under normal market conditions, the Fund seeks to achieve its investment objective generally by investing equally in shares of each Underlying Fund and, to a