Canary Capital's Sui ETF Filing

Canary Capital Eyes First Sui ETF

Asset manager Canary Capital has filed with the SEC for approval to launch a spot Sui exchange-traded fund (ETF). This innovative ETF will include a staking component, marking a significant development in the crypto ETF landscape.

Key Highlights

• The Cboe BZX Exchange submitted a 19b-4 form to the SEC proposing the listing of the Canary SUI ETF.
• This is the first proposed Sui ETF, designed to track the performance of the SUI digital asset.
• The ETF may utilize trusted staking providers to stake a portion of its SUI holdings, generating staking rewards.
• Sui Network boasts a fully diluted market cap exceeding $22.5 billion and employs a unique consensus mechanism (Narwhal and Bullshark).

Canary Capital, known for its active pursuit of crypto ETF opportunities, initially registered its SUI ETF with the SEC in early March. The firm also established a Delaware trust specifically for this product. This filing follows the SEC’s recent approval of spot Bitcoin and Ethereum ETFs, suggesting a potential shift in regulatory sentiment.

The proposed ETF will track the spot price of SUI, currently ranked among the top 20 crypto assets by market cap (approximately $6.7 billion at the time of writing).

Cboe’s filing emphasizes the existence of safeguards against fraud and manipulation, mirroring the arguments accepted in previous Bitcoin and Ethereum ETF approvals.

Canary Capital's Broader ETF Strategy

Canary Capital is actively expanding its crypto ETF offerings. The firm is exploring ETFs based on other significant crypto assets, including Litecoin (its Litecoin ETF, LTCC, is already listed on the DTCC), XRP, Solana, and Hedera.

This aggressive strategy is further amplified by recent developments, such as World Liberty Financial’s (WLFI) strategic partnership with the Sui blockchain to create new products and integrate Sui-based assets into its Macro Strategy fund.

The approval of this Sui ETF could significantly impact the crypto market and opens new avenues for institutional investment in the Sui ecosystem. Codeum, a leader in blockchain security and development, remains dedicated to ensuring the security and integrity of blockchain projects, through offerings such as smart contract audits, KYC verification, custom smart contract and DApp development, and tokenomics and security consultation. We also partner with launchpads and crypto agencies to help build secure and reliable blockchain solutions.