PENGU token rallied briefly on Thursday as asset manager Canary Capital filed to launch a PENGU exchange-traded fund (ETF)

The fund aims to track the price of the PENGU token and Pudgy Penguins NFTs.

Asset manager Canary Capital has filed to launch the first-ever Pengu exchange-traded fund (ETF) with the Securities and Exchange Commission (SEC), sparking a brief rally in the meme token on Thursday..

The fund, which seeks to track the price of the Pengu token and Pudgy Penguins NFTs, joins a growing list of meme coin ETFs that asset managers are applying to launch.

Canary Capital filed an S-1 registration statement for the Pengu ETF. The ETF's objective is capital appreciation, which it aims to achieve by investing in both the Pengu token and the Pudgy Penguins NFTs. This provides investors with exposure to both the NFTs' value and the Pengu token's price.

The filing also stated that the firm will hold Solana (SOL) and Ethereum (ETH) tokens in the Pengu Trust.

"The Trust will also hold other digital assets, such as SOL and ETH, that are necessary or incidental to the purchase, sale and transfer of the Trust's Pengu and Pudgy Penguins NFTs," the filing states.

Pengu is the latest in a growing list of meme tokens that asset managers are applying to launch ETFs for. These include Dogecoin (DOGE), Bonk and Trump tokens, which asset managers filed for following President Donald Trump's inaguration.

The likelihood of a meme coin ETF approval is still uncertain as their high volatility may influence how regulators perceive them.

The SEC recently postponed its decision on several altcoin ETFs, including DOGE and Bonk.

Pengu rose 10% following the announcement but has since retraced.