New York-based fund manager Canary Capital has proposed an exchange-traded fund offering exposure to staked Injective (INJ) tokens, continuing its aggressive campaign for cryptocurrency exchange-traded products.

The filing reflects a growing market interest in staking-based offerings, according to Canary.

Details from a late-April filing with the U.S. Securities and Exchange Commission (SEC) reveal the Canary Staked INJ ETF would hold INJ directly and allocate a portion toward staking activities. However, the specific amount reserved for staking or the chosen staking provider remain undisclosed.

Injective, a layer-1 blockchain focusing on derivative-trading and decentralized finance (DeFi) applications, saw its INJ token trading at an approximate market capitalization of $1.3 billion at press time, ranking it the 89th largest cryptocurrency asset globally.

Canary’s Broader ETF Strategy

Founded by former hedge fund manager Steven McClurg, Canary has demonstrated significant ambition in its ETF strategy. In recent months, the fund has filed for several cryptocurrency products, including ETFs tracking Litecoin (LTC), Solana (SOL), XRP, Hedera Hashgraph (HBAR), and Sui (SUI).

The filing for its PENGU ETF, designed to hold both Pudgy Penguins NFTs and governance tokens, occurred while the Blockworks Digital Asset Summit was underway in March.

SEC Scrutiny and Market Signals

While Canary executives noted increased engagement from the SEC, describing the path to approval as more “open,” they caution against interpreting a flurry of filing attempts as an explicit green light. According to a source familiar with the situation, the SEC may be waiting to establish generic listing standards for single-asset crypto ETFs before moving forward.

Injective’s Regulatory Outlook

Responding to broader regulatory developments, Injective Labs CEO Eric Chen told Blockworks he is “closely monitoring” proposed crypto legislation. The firm welcomed the introduction of the CLARITY Act, which aims to provide regulatory certainty for digital assets.

Chen stated that greater regulatory clarity would enable Injective to create a “very predictable growth plan,” citing the need for stable regulatory frameworks as essential to expanding their RWA Native Token offering and bringing real-world assets onto their blockchain.

Myers emphasized the utility aspect of such initiatives. Chen explained RWA integration into Injective as addressing “one of the biggest problems… as it’s pretty much a certificate of ownership … with no mobility or real on-chain utility.” He believes democratizing access to a wide array of assets will ultimately be transformative for the evolution of the space.