Canary Files First US Spot ETF for Trump Meme Coin
Canary Capital has filed to the US Securities and Exchange Commission (SEC) for a first-of-its-kind spot ETF fully backed by President Trump’s TRUMP meme coin. The application, submitted under the Securities Act of 1933, proposes 100% reserves of TRUMP tokens held in regulated custody, diverging from earlier 1940 Investment Company Act structures that relied on offshore entities.
Analysts note that spot ETF approvals typically require at least six months of futures trading—an unmet condition for TRUMP token futures—casting doubt on SEC approval timelines. Nonetheless, recent SEC statements under Commissioner Hester Peirce, who argued that meme coins are not securities, introduce an unprecedented regulatory backdrop.
Since its January peak, the TRUMP token has plunged over 69%, trading around USD 8.40. If approved, the spot ETF for Trump meme coin would be the first US fund linked to a sitting president’s personal crypto project, signaling potential mainstream acceptance of meme coins. While clearance may take up to a year with extra filings, some observers predict the SEC could approve at least one spot meme coin ETF by year-end.
Neutral
The filing of a spot ETF for the TRUMP token represents a bullish signal for potential mainstream adoption, as it would be the first US fund fully backed by a sitting president’s meme coin. However, significant hurdles remain: SEC rules on six-month futures history are unmet, and approval could take up to a year with extra filings. Recent regulatory comments from Commissioner Peirce introduce a supportive context but do not guarantee SEC approval. In the short term, the token may see modest price reactions on renewed interest. In the long term, regulatory clarity and approval could boost TRUMP token demand, but the extended timeline and high-risk warning limit immediate impact, resulting in a neutral overall market effect.