The Chicago Board Options Exchange (Cboe) has formally filed to list shares of Canary Capital’s proposed staked Injective (INJ) exchange-traded fund (ETF), advancing efforts to expand regulated crypto investment products in the U.S. This follows Canary Capital’s S-1 application to the SEC on July 17, which seeks approval for a fund designed to accrue staking rewards through an “approved staking platform” while offering exposure to INJ, the governance token of the Injective blockchain.
If approved, this would mark the third staked altcoin ETF after staked Solana (SOL) and Ethereum (ETH) products were greenlit on June 30. The filing occurs amid a favorable regulatory climate under the Trump administration, which has supported crypto innovation. However, the SEC has yet to formally acknowledge the submissions, with an initial response expected in 30-45 days (potentially early September) and a final decision possibly extending to March 2026 due to the agency’s 240-day review window.
This development builds on the SEC’s May ruling that staking does not violate securities laws—a decision hailed by Alison Mangiero of the Crypto Council for Innovation as “a major step forward” that validates staking as a core blockchain function. Approval could significantly boost INJ adoption by providing traditional investors simplified access to both price appreciation and staking yields. Currently trading at $15.10 (down 71% from its March 2024 peak of $52), INJ might recapture historical highs if ETF-driven inflows materialize, mirroring Bitcoin’s post-ETF surge where inflows constituted 75% of new investments during its February 2024 rally. However, Ethereum’s spot ETF debut saw ETH drop 38% in two weeks due to Grayscale outflows exceeding $4.3 billion, highlighting volatility risks.
The ETF promises benefits like passive yield generation, daily liquidity, and institutional-grade custody but faces hurdles including SEC skepticism, yield volatility, and centralization concerns if large INJ holdings concentrate staking power.