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Canary Capital filed to launch the first staked spot CRO ETF in the U.S.
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The fund will stake a portion of CRO to generate yield.
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Crypto.com will act as custodian and liquidity provider.
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The move follows SEC guidance stating staking is not a securities transaction.
A First-of-Its-Kind Staked ETF Application
Canary Capital has submitted a registration statement to the U.S. SEC seeking approval for what would be the first staked spot CRO ETF in the country. The fund would provide direct exposure to Cronos (CRO), the native asset of the Crypto.com-backed blockchain, while staking a portion of its holdings to generate additional returns for investors.
Crypto.com’s Role and Fund Mechanics
According to the filing, Crypto.com will serve as both the custodian and liquidity provider. The ETF will handle share creations and redemptions in cash, though Canary noted it may pursue in-kind redemptions if approved. The product structure mirrors existing spot Bitcoin and Ethereum ETFs already live in U.S. markets.
SEC Greenlights Staking for ETFs
Canary’s move closely follows recent SEC guidance confirming that staking activities on proof-of-stake networks do not qualify as securities transactions. The clarification effectively opens the door for crypto ETFs to include staking for the first time, something previously avoided due to regulatory uncertainty.
Growing Competition Among ETF Issuers
Canary has recently filed for several crypto ETF products covering assets like SUI, Hedera, and Litecoin, as well as a separate Tron ETF with staking. It joins a broader wave of issuers—including Bitwise, Franklin Templeton, and Grayscale—hoping for SEC approval under the more crypto-friendly Trump administration.
