Canary Capital has registered a Trump Coin ETF in Delaware, a transfer that indicators plans to launch a spot exchange-traded fund (ETF) monitoring the memecoin.
The entity, “Canary Trump Coin ETF,” was included on Aug. 13, in line with state information.
The registration is usually a precursor to submitting an S-1 software with the U.S. Securities and Trade Fee (SEC) and a corresponding 19b-4 type by a list change.
If filed, the fund can be the third spot ETF tied to a meme coin, following functions for Dogecoin merchandise from different main companies. Canary Capital has additionally filed for a PENGU ETF, making it one of many few U.S. asset managers to pursue a number of altcoin-based ETFs.
The agency’s technique is uncommon in a market the place most crypto ETF efforts have centered on blue-chip digital property resembling Bitcoin (BTC) and Ethereum (ETH), with occasional diversification into large-cap layer-1 tokens like Solana (SOL).
By focusing on smaller, high-volatility meme cash, the agency is positioning itself in a distinct segment phase typically considered as speculative and out of doors the mainstream ETF panorama. The agency’s CEO beforehand acknowledged that the altcoin ETFs are a guess on undervalued digital assets.
The proposed Trump Coin ETF would give institutional traders direct publicity to the Solana-based TRUMP token, doubtlessly injecting further liquidity into the market and making a regulated funding channel for what’s in any other case a retail-driven asset.
The SEC has beforehand acknowledged that meme cash are thought-about commodities, which might simplify the approval course of in comparison with tokens deemed securities.