Canary Capital Aims to Launch TRON-Focused ETF

Total TRON Stablecoin Market Cap.

While the proposal has created a buzz in the market, questions remain over its chances of gaining regulatory approval. The inclusion of staking within the ETF is a bold move, but the SEC has historically opposed similar features in other crypto funds.

The SEC has flagged staking services within investment products as potential unregistered securities, leading to increased scrutiny.

Due to this, past Ethereum ETF proposals were forced to remove staking components to align with regulatory expectations.

Nonetheless, several firms, including Grayscale, continue to push for altcoin ETFs that incorporate staking or offer broader asset exposure.

Still, regulatory uncertainty clouds the Canary TRX ETF proposal, especially in light of past controversies involving Justin Sun. The network has also faced allegations of being used by illicit actors, claims it has publicly denied.

If approved, Canary Capitals ETF would mark a historic milestone by combining exposure to TRX with staking rewards. This structure could attract both retail and institutional investors seeking yield alongside market performance.

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