Canary Capital Files for Staking TRX ETF, Targeting Launch Before Spot Bitcoin ETFs

Canary Capital is looking to get the U.S. Securities and Exchange Commission's sign-off for an exchange-traded fund that would track the Tron token TRX and has a staking component.

Canary Capital is applying to list a new crypto ETF with the U.S. Securities and Exchange Commission.

The institutional crypto trading and management firm disclosed in a filing on Friday that it is launching the Canary Staked TRX ETF which would track the Tron token TRX and also has a staking component. BitGo Trust Company will be the ETF’s custodian, according to the filing.

“The Trust intends to establish a program to stake a portion of the Trust’s assets through one or more staking infrastructure providers,” according to the filing.

Canary Capital is planning to launch a number of crypto ETFs, including ones tied to Pengu, Sui, Hedera and Litecoin.

Several other firms are also launching applying for SEC approval for several ETFs, which are mostly focused on XRP and Solana, in an expectation that the agency will be more open to granting approval.

The SEC did not immediately respond to a request for comment.

The agency has recently become more engaged in the crypto space. Earlier this year, the SEC approved the listing of spot Bitcoin ETFs and spot Ethereum ETFs after a decisive court ruling brought on by ETF issuer Grayscale.

The SEC is also planning to hold a public roundtable on the role of digital assets in capital formation and the intersection of digital assets with traditional finance. The agency is also planning to discuss the SEC’s role in the digital asset ecosystem.

The Tron network is a decentralized platform launched by entrepreneur Justin Sun in 2018. TRX has a market capitalization of $22.9 billion and is the ninth-largest crypto, according to Block's price data.

Earlier this year, the SEC sued cryptocurrency exchange Binance and its CEO Changpeng Zhao for allegedly defrauding investors. The agency also sued Coinbase for allegedly operating an unregistered exchange.