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Canary Capital bets on Injective with staked ETF filing

2025-07-17 22:31:05

Main Idea

Canary Capital filed an S-1 application for a staked INJ ETF following SEC guidance treating staking rewards as income, reflecting the blurring line between traditional finance and DeFi.

Key Points

1. Canary Capital filed an S-1 application for a staked INJ ETF with the SEC, treating staking rewards as income.

2. INJ is the governance, staking, and utility token for the Injective Protocol, a layer-1 blockchain focused on DeFi.

3. The filing follows SEC guidance that accelerates the trend of integrating traditional finance with DeFi.

4. The move has polarized the crypto community, with some criticizing institutional involvement for potential market volatility.

5. Canary Capital formed a Delaware Trust for its staked Injective ETF in June, marking the latest altcoin ETF filing in the US.

Description

The move follows SEC guidance treating staking rewards as income, enabling asset managers like Canary to back blockchain-based tokens through delegated staking.

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