Canary Capital Moves Towards HBAR ETF Launch with SEC S-1 Submission
Canary Capital has taken a significant step towards launching an ETF tied to Hedera's HBAR token. The firm submitted an S-1 registration with the SEC, marking a crucial initial milestone. This move comes amidst potential investigations by Elon Musk's Department of Government Efficiency (DOGE) into the SEC.
The S-1 submission is a key initial milestone, but the process is not yet complete. A 19b-4 filing is the next step, proposed to initiate regulatory changes for the fund's listing on an exchange. This filing has not been made yet, and its completion is essential for moving the process forward.
Canary Capital's move is notable, given the SEC's cautious approach towards cryptocurrency ETFs. Despite a surge in new ETF applications and the creation of a specialized unit to combat crypto fraud and cybercrime, the SEC maintains a cautious stance. The SEC has not yet formally recognized Canary Capital to approve an ETF for the altcoin Litecoin, with a decision pending.
The proposed HBAR ETF aims to provide investors with direct exposure to the altcoin, following the successful model of Bitcoin ETFs. Canary Capital previously earned formal recognition from the SEC for a Litecoin ETF, setting a regulatory deadline for approval or rejection.
Canary Capital's S-1 submission for the HBAR ETF is a significant step, but the process is not yet concluded. The next step is a 19b-4 filing, which will initiate regulatory changes for the fund's listing on an exchange. The SEC's decision on the Litecoin ETF is still pending, and the HBAR ETF's approval remains uncertain amidst the regulatory body's cautious approach to cryptocurrency ETFs.
