Canary Capital has filed Amendment No. 4 to its registration statement for the proposed Canary Staked TRX ETF, providing additional details regarding the fund's fee structure and staking approach.
Submitted on August 19, the filing discloses a 1.10% management fee. It also outlines a staking strategy that could allow up to 90% of the trust’s assets to be staked. Unlike a standard spot cryptocurrency fund that holds an asset passively, this proposed structure would introduce staking into an ETF wrapper, aiming to incorporate network validation rewards.
Regulatory approval for the fund has not been granted. The filing represents a registration amendment, and the required 19b-4 rule-change process with regulators remains separate. The product cannot trade solely based on an amended S-1 filing, as the exchange listing must also complete the necessary regulatory steps.
The 1.10% management fee and the integration of staking add complexity to the product profile. While traditional spot Bitcoin and Ethereum exchange-traded products are already established, proposals involving staked assets continue to test regulatory parameters for expansion.
The next phase involves regulatory review to determine whether the SEC will comment on the staking structure or if the listing exchange will advance the required application. Approval is not guaranteed, and the fund is not currently live.
