Canary Capital’s TRON ETF Proposal May Challenge SEC Regulations on Staking Rewards
The post Canary Capital’s TRON ETF Proposal May Challenge SEC Regulations on Staking Rewards appeared on BitcoinEthereumNews.com.
Canary Capital’s recent proposal for a spot TRON exchange-traded fund (ETF) marks a pivotal moment in the evolving landscape of crypto investment products. This application, uniquely combining market exposure with staking rewards, could reshape investor access to cryptocurrency. Justin Sun, founder of Tron, praised the initiative and urged investors to act quickly to capitalize on future growth potential. Canary Capital seeks SEC approval for a pioneering TRON ETF, merging market access with staking rewards—a potential game-changer in crypto investments. Canary Capital’s TRX ETF Could Test SEC Stance on Staking Assets The filing designates BitGo Trust Company as the custodian for TRX holdings and appoints Canary Capital as the fund’s sponsor. This structure is designed to appeal to a broad spectrum of investors aiming to tap into Tron’s growing ecosystem. Historically Challenging Regulatory Landscape for ETF Proposals Justin Sun, the founder of Tron, weighed in on the development, encouraging US investors to take action swiftly. He emphasized the potential for TRX’s growth and observed that if the ETF gains regulatory approval, institutional interest might soar. He stated, “US VCs should start buying TRX — and fast. Don’t wait until it’s too late. TRX is a price that only moves one way: up,” which reflects optimism on the asset’s future performance. According to data from COINOTAG, TRX stands as the ninth-largest cryptocurrency by market capitalization, valued at approximately $22.94 billion. Tron’s blockchain has made significant strides in stablecoin settlements, ranking second only to Ethereum in this domain. Its efficiency in processing swift and cost-effective transactions renders it a preferred choice for Tether’s USDT, as supported by data from DeFiLlama. While the proposal has generated excitement, many questions linger regarding its potential to secure regulatory approval. The inclusion of staking in the ETF is a bold strategy, especially given the SEC’s historical opposition…
Filed under: News - @ April 19, 2025 10:22 am