Canary Capital Files for Staked Tron ETF Amid Rising Altcoin ETF Interest
- Canary Capital files for a Tron ETF that offers staking rewards and tracks the price of the TRX token.
- The new ETF uses Coindesk Indices to set value and gives investors access to staking in a regulated way.
- Tron joins other altcoins like Solana and XRP in the growing list of ETF filings under SEC review.
Canary Capital has filed for a new exchange-traded fund focused on Tron. The filing was submitted to the U.S. Securities and Exchange Commission. This product, named the Canary Staked TRX ETF, adds staking functionality. The ETF aims to track Tron’s price while offering staking rewards.
Canary Capital is known for its series of altcoin ETF proposals. It recently filed for a Pudgy Penguins-themed ETF. This new application comes just weeks after the firm submitted its Pengu ETF filing. Canary Capital also has pending ETF proposals for SUI, HBAR, and DOT.
ETF Will Use Staking Rewards Structure
The Canary Staked TRX ETF introduces staking to its design. This allows investors to receive staking rewards tied to the Tron network. The fund will use pricing data from Coindesk Indices to determine its Net Asset Value. It plans to give regulated access to Tron while rewarding investors with staking yields.
CSC Delaware Trust Company will serve as the trustee. Canary Capital Group LLC is listed as the sponsor. The firm will manage operations and performance oversight of the ETF.
The filing did not reveal the listing exchange. However, it confirmed the fund’s objective is to follow Tron’s price performance. It will also provide an additional income stream through staking.
Tron Becomes Central to Altcoin ETF Strategy
Tron, trading as TRX, is the ninth-largest cryptocurrency by market value. It has a market cap of around $23 billion. TRX has surged about 120% in the past year. Despite a recent price dip of 3%, investor interest remains high.
Tron operates on its own blockchain. It aims to decentralize the internet through user-based ownership. Its proof-of-stake mechanism supports network activity and staking rewards.
Canary’s focus on Tron aligns with a growing trend in altcoin ETF filings. Other major firms like Grayscale, 21Shares, VanEck, and Franklin Templeton have joined the movement. These firms have filed for ETFs linked to Solana, Dogecoin, Litecoin, and Cardano.
Favorable Climate Encourages More ETF Filings
The SEC has delayed decisions on several ETF proposals. Yet optimism continues to grow. Market watchers expect approvals by mid-2025. Changes in SEC leadership have contributed to this shift. Chair Paul Atkins , along with Mark Uyeda and Hester Peirce, are viewed as crypto-friendly.
The SEC’s classification of Bitcoin as a commodity also opens paths for altcoin ETF approvals. Analysts expect Solana and XRP ETFs to gain approval soon. The introduction of staking features, however, remains under regulatory scrutiny.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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