The U.S. Securities and Exchange Commission Acknowledges a Proposed Staked Tron (TRX) Exchange-Traded Fund (ETF) from Canary Capital

Canaries Capital has filed ETFs tracking multiple altcoins in 2025, including Hedera, Sui, and Litecoin. The firm's latest effort adds to a growing list of staked cryptocurrency fund proposals

The U.S. Securities and Exchange Commission has acknowledged a proposed staked Tron (TRX) exchange-traded fund (ETF) from Canary Capital, marking a rare instance of formal progress on altcoin ETFs.

Key Insights:

* The SEC received a 19b-4 filing from Cboe BZX Exchange for the listing of the STAKED TRON ETF, applying for approval of the product.

* The filing, submitted in April, is for a leveraged ETF with BitGo as the custodian.

* The Commission’s acknowledgment triggers a public comment period and a formal review process for the ETF.

* The ETF is designed to provide exposure to staked TRX, aiming to generate yield through staking rewards while enabling institutional-grade access via traditional exchanges.

* Meanwhile, several other high-profile crypto ETF proposals face delays, including those from Bitwise and CoinShares for spot XRP ETFs and a spot Litecoin ETF.

The SEC has delayed several other high-profile crypto ETF proposals, including those from Bitwise and CoinShares for spot XRP ETFs, as well as a spot Litecoin ETF.

Fidelity’s proposed in-kind Bitcoin ETF, which would permit non-cash transactions for asset creation and redemption, is also facing an extended review period.

The delays on several of the products were expected, according to James Seyffart, an ETF analyst at Bloomberg Intelligence, who confirmed the postponements via X.

“If we’re gonna see early approvals from the SEC on any of these assets—wouldn’t expect to see them until late June or early July at absolute earliest. More likely to be in early 4Q,” wrote Seyffart.

He added that the Commission usually takes the full allotted time to deliver rulings. “Early decisions would be an action that’s out of the norm.”

Trump administration adopts less adversarial stance toward crypto

The Trump administration has adopted a comparatively less adversarial stance toward cryptocurrencies, but even so, the cautious approach to ETF approvals has continued.

The Commission has repeatedly solicited public feedback and delayed decisions, citing the need for greater market surveillance and investor protection in its rationales.

Despite industry optimism around a more crypto-friendly regulatory environment, the procedural pace remains slow.

The TRX acknowledgment is a procedural step, not an approval, and public commentary will determine the speed and likelihood of final clearance.

According to the SEC’s notice, the proposed TRX ETF aims to comply with existing regulatory frameworks while integrating staking as a yield mechanism.

That design places it in a different category than traditional spot ETFs, which simply track the underlying asset’s price.

The ETF is also being marketed with the intent to provide efficient access for institutional investors.

“The proposed TRX ETF will provide a valuable product to investors who are seeking exposure to the Tron cryptocurrency in a manner that is consistent with the federal securities laws,” said the filing.

TRX joins altcoin ETF race amid institutional demand

The proposals come as institutional interest in crypto ETFs, particularly those with staking or yield features, is running high.

Canary’s initiative may help bridge the gap between DeFi and traditional markets, but it still faces significant regulatory hurdles.

The acknowledgment comes at a time when the SEC is juggling dozens of ETF proposals and faces pressure to approve more crypto products.

The broader outcome could determine whether staking-based ETFs gain mainstream traction in the U.S.

Stay tuned to Benzinga for more crypto news and analysis.

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