Just this week, TRON founder Justin Sun put that speculation to bed when he announced plans for a TRX spot exchange-traded fund (ETF). This decision has sparked enthusiasm throughout the crypto landscape. Indeed, it’s worth mentioning that the TRX token earlier this week overtook Cardano’s ADA token to become the ninth-largest cryptocurrency by market cap.
Canary Capital recently filed a Form S-1 for a staked TRX ETF with the U.S. The application for this ETF would have it track TRX’s spot price. Investors can experience a 4.5% annual rate for their capital thanks to staking rewards. The filing lacked any information as to which exchange the ETF would list on.
Tron's momentum in the market may fuel the ETF's appeal, given TRX has surged by over 122% in the past year, with a 5.52% gain in the past month alone. At the time of writing, TRX is now trading at $0.2417, down 1.23% on the day. TRX is the cryptocurrency of the TRON blockchain ecosystem, which was founded by Justin Sun.
Though, if the U.S. Securities and Exchange Commission (SEC) have shown any consistency whatsoever, it’s in denying any ETF with a staking component. Grayscale’s analogous application to launch an Ethereum version of its fund still awaits final review. For the SEC there is a surging tide of other ETF applications, including some linked to XRP, Solana and Dogecoin.
