Canary's crypto fund that earns network rewards wins Nasdaq listing approval

Investors who want exposure to INJ, the token of the Injective blockchain, may soon be able to get it through an ordinary brokerage account, with the fund also collecting the network's rewards for them. The SEC's notice shows the Canary Staked INJ ETF's registration took effect at 4:00 p.m. ET on Nov. 4 [1], and Nasdaq certified that it approved the shares "for listing and registration upon official notice of issuance" [3]. The prospectus says the shares are expected to trade under the ticker "INJC" [4]; as of 12:05 p.m. ET Nov. 5, no primary source we read shows trading has begun.

The mechanism

A staked-token ETF holds a cryptocurrency and commits it to help run the network, earning new tokens in return, so the fund's holdings can grow while its shares trade like a stock. The prospectus says the sponsor, Canary Capital Group, anticipates that "at least 90%" of the trust's INJ will be staked under normal circumstances [4]. The trust does not run that work itself: BitGo Bank & Trust holds the INJ and connects to a validator, a computer that helps confirm the network's transactions, run by a staking provider [4]. The prospectus does not name that provider [4].

Rewards are split. The prospectus says staking fees, covering the custodian, the staking provider and the sponsor, "will not exceed 30%" of rewards and are expected to be 30%, leaving the trust 70% [4]. On top of that, the trust pays the sponsor 1.10% a year of its INJ holdings, which the sponsor may waive "at its sole discretion" [4]. The fund's price comes from a CoinDesk Indices benchmark, a 60-minute average of trades on major INJ platforms [4].

The evidence

Source: Canary Staked INJ ETF prospectus, filed Nov. 4, 2026 [4]. Table: Le Coin.

The filings line up. Canary filed its Form 8-A to register the shares on Nasdaq on Nov. 3 [2]; Nasdaq's letter, dated Nov. 4, says it received that form on Nov. 3 [3]. A seed investor has said it intends to buy up to $15 million of shares at $25.00 each [4].

If those Sept. 15 figures held, staking 90% of the trust at 6.8% and keeping 70% of the rewards would add about 4.3% a year in INJ, or about 3.2% after the 1.10% fee, by Le Coin's arithmetic, before other costs. That is an illustration from the prospectus figures, not a forecast [4]. INJ was $7.94 at 12:04 p.m. ET Thursday, up 2.0% in 24 hours, per CoinGecko [5].

The objection

The prospectus itself warns the reward rate "would be expected to decline materially" if more INJ is bonded, because issuance is at the top of its allowed range [4]. Unstaked INJ sits in a 21-day unbonding period, earning nothing and unable to move [4]. Penalties for misbehaving validators were set at zero forfeiture as of Sept. 15, but governance can raise them "at any time and without notice" [4]. If rewards fall short of fees, the INJ behind each share shrinks [4]. The trust is not registered under the Investment Company Act of 1940, so it lacks that law's protections [4].

The tell (Le Coin's view)

In Le Coin's view, the paperwork is done but the product is not yet in investors' hands. Three things no primary source shows yet will say more than the approval: the first day INJC trades, the name of the company running its validator, and whether Canary waives any of the 1.10% fee.

Sources

• [1] SEC EDGAR, Canary Staked INJ ETF, Notice of Effectiveness, accession 9999999995-26-003429; accessed 12:05 p.m. ET Nov. 5.
• [2] SEC EDGAR, Canary Staked INJ ETF, Form 8-A12B, accession 0001999371-26-024343; accessed 12:05 p.m. ET Nov. 5.
• [3] SEC EDGAR, The Nasdaq Stock Market LLC certification, accession 0001354457-26-001054; accessed 12:05 p.m. ET Nov. 5.
• [4] SEC EDGAR, Canary Staked INJ ETF prospectus (424B3), accession 0001999371-26-024476; accessed 12:05 p.m. ET Nov. 5.
• [5] CoinGecko API, INJ price, https://api.coingecko.com/api/v3/simple/price?ids=injective-protocol ; accessed 12:04 p.m. ET Nov. 5.

Holding the Corner.

Not financial advice.