Canary Capital has registered a crypto exchange-traded fund (ETF) designed to trace a memecoin token linked to US President Donald Trump.
In accordance to the Delaware State Division web site, Canary Capital filed on Wednesday for the Canary Trump Coin ETF. The registration suggests the launch of a crypto ETF monitoring the Official Trump (TRUMP) token, although a proper submitting with the Securities and Trade Fee (SEC) might nonetheless be months away.
In keeping with Cointelegraph indexes, TRUMP has a market capitalization of $1.9 billion, rating it forty ninth amongst all cryptocurrencies at this writing. Amongst memecoins, the token is listed because the fifth-largest by market cap, although the checklist doesn’t embrace the unique memecoin, Dogecoin (DOGE).
Canary Capital’s registration follows filings from asset managers Osprey Funds and REX Shares with the SEC searching for consent to create an ETF to trace the TRUMP memecoin. That submitting was submitted on Jan. 21, days after the token launched.
Founding father of Zekret and chief know-how officer of Fidium, Dmitrij Radin, advised Cointelegraph in January that the approval of memecoin-based ETFs is extra possible beneath the present crypto-friendly SEC administration, including, “It’s a daring transfer, probably bringing extra liquidity and mainstream acceptance to memecoins.”
Associated: Crypto captures half of the highest 20 spots in ETFs launched since 2024
Dogecoin leads the best way for memecoin ETFs
Dogecoin, a cryptocurrency that was created as a joke in 2013, has had probably the most traction of all memecoins within the realm of exchange-traded funds. At present, there are a minimum of three Doge ETFs pending assessment by the SEC: one from Grayscale, one other from Bitwise and a 3rd from REX-Osprey.
On June 26, Bitwise amended its Dogecoin ETF submitting to incorporate in-kind redemptions, permitting traders to convert shares of an ETF into the underlying asset with out pulling into money first. This characteristic reduces tax burden, making the ETF attraction extra to institutional traders.
Other than Dogecoin ETFs, there was a BONK (BONK) ETF submitting made again in January. Memecoins have largely died down as a craze for the reason that spring of 2025, when a sequence of rug pulls uncovered the tokens’ dangers to retail traders.
In accordance to CoinGecko knowledge, the memecoin sector has a market capitalization of over $82 billion at this writing.
Journal: Memecoins are ded — However Solana ‘100x higher’ regardless of income plunge
