Canary Capital is making waves in the crypto world with its latest move. The asset manager has filed for an exchange-traded fund (ETF) that will feature Pengu (PENGU), the governance token of the popular Pudgy Penguins NFT project. This filing is a part of a growing trend of new US investment products linked to spot cryptocurrencies, including altcoins and memecoins.
The proposed ETF isn’t just about holding PENGU. Canary Capital plans to include various Pudgy Penguins NFTs, making it a potential first in the US market if it gets the green light. This could be a game-changer, as no other ETF has ventured into the NFT realm yet.
But wait, there’s more! The ETF will also hold other digital assets like Solana (SOL) and Ethereum (ETH), which are crucial for managing the PENGU and Pudgy Penguins NFTs. This diverse mix could attract a wide range of investors looking to dip their toes into the crypto waters.
Pudgy Penguins, launched in December, has already made a splash with a market cap of around $438 million as of March 20, according to CoinGecko. Canary Capital isn’t stopping there; they’ve also filed for the first US ETF holding Sui (SUI), the native token of the Sui layer-1 blockchain network.
The US Securities and Exchange Commission (SEC) has been busy with numerous filings for new crypto investment products since President Trump took office. These include ETFs for native L1 tokens like Solana and XRP, as well as memecoins such as Dogecoin and Official Trump (TRUMP). It’s clear that the crypto landscape is evolving rapidly.
However, not everyone is convinced that these ETFs will take off. Some industry analysts are skeptical about their appeal to traditional investors. Crypto researcher Alex Krüger expressed his doubts on social media, suggesting that most crypto ETFs might struggle to attract assets under management (AUM) and could end up costing issuers money.
Despite the skepticism, President Trump has reversed the US government’s stance on digital assets, aiming to make America “the world’s crypto capital.” This marks a significant shift from his predecessor, Joe Biden, under whose administration over 100 enforcement actions were taken against crypto firms.
In another exciting development, asset manager Volatility Shares launched two Solana futures ETFs on March 20. These ETFs use financial derivatives to track SOL’s performance with one- and two-time leverage, respectively. However, spot SOL ETFs are still awaiting regulatory approval.
As the crypto world continues to evolve, enthusiasts and investors alike are keeping a close eye on these developments. Canary Capital’s bold move with the Pengu ETF could be a sign of more exciting things to come in the ever-expanding universe of digital assets. Stay tuned!
