Canary Capital Files for Staked INJ ETF with Yield Strategy
Canary Capital has filed an S-1 registration with the U.S. SEC for a Staked INJ ETF. The proposed fund would track Injective’s (INJ) price and automatically collect staking rewards from its proof-of-stake network. Investors gain altcoin ETF exposure without managing wallets or validators. Similar to staked Ethereum products in Europe, the Staked INJ ETF aims to integrate staking yield into a regulated vehicle. Canary’s filing did not specify staking providers or the staking ratio. After the announcement, INJ’s price surged over 25%, reflecting strong trader interest. If approved, the ETF could broaden altcoin ETF offerings, attract institutional capital, and boost trading volume and capital inflows into DeFi assets. However, experts warn that large institutional inflows and portfolio rebalancing may trigger short-term market swings.
Bullish
The Staked INJ ETF filing triggered a 25% rally in INJ price, reflecting trader optimism. In the short term, ETF demand and built-in staking rewards are likely to drive additional buying pressure. Over the long term, institutional adoption through a regulated product can enhance liquidity and provide sustained price support. While portfolio rebalancing by large holders may cause occasional volatility, the overall outlook for INJ remains bullish due to anticipated capital inflows and broader market access.