Canary Capital Group LLC Filed a Form S-1 Registration Statement With the Securities and Exchange Commission (SEC) on Friday for Its Canary Staked TRX ETF

According to the preliminary prospectus, Canary's proposed fund will issue shares designed to give investors exposure to the price of tron (TRX), after deducting the trust's operating expenses and other liabilities.

Canary Capital Group LLC made an application to the Securities and Exchange Commission (SEC) on Friday for its Canary Staked TRX ETF.

Canary Capital Files S-1 With SEC for Staked TRX ETF

As stated in the preliminary prospectus,Canary's proposed fund aims to provide investors with exposure to the price of tron (TRX), adjusting for the trust's operating expenses and other liabilities.

Its net asset value will be calculated daily at 4 p.m. Eastern time using a Coindesk Indices benchmark that combines spot prices from major digital asset platforms. The trust also plans to stake a portion of its TRX to earn network rewards, which is subject to associated liquidity and penalty risks.

Canary Capital is the sponsor, CSC Delaware Trust Company serves as trustee, and Bitgo Trust Company will be the custodian for the trust's TRX holdings. Ownership of shares will not grant investors any voting rights, and the trust will not engage in lending or pledging assets or serving as collateral.

The sponsor will cover ordinary operating expenses through a unified fee arrangement, while extraordinary costs will be borne by the trust. The offering will operate continuously under SEC Rule 415, with shares being created or redeemed in cash by authorized participants. Each basket will comprise a defined block of shares based on the amount of TRX attributable to each share, net of fees.

The trust was formed as a Delaware statutory trust on April 8 and will operate in accordance with a trust agreement between the sponsor and the trustee. Canary has previously filed for spot exchange-traded funds, or ETFs, to track SUI, LTC, PENGU (Pudgy Penguins token), HBAR, XRP, AXL, DOGE and SOL. Founded by Steven McClurg, former co-founder and chief investment officer of Valkyrie Funds, the firm provides institutional-grade access to a wide range of digital assets.