Canary Capital Refines Staked Injective ETF Proposal

Source: Coindoo Original Title: Canary Capital Refines Staked Injective ETF Proposal Original Link:

Canary Capital has updated its filing with the U.S. Securities and Exchange Commission for a proposed staked Injective ETF, refining how the product would provide regulated exposure to INJ and on-chain staking rewards.

The amendment adds operational clarity as the issuer continues to push for approval amid growing interest in staking-based crypto exchange-traded products.

Key Takeaways

• Canary Capital has amended its SEC filing for a proposed staked Injective ETF, adding operational clarity
• The ETF would offer spot INJ exposure combined with staking rewards, with BitGo named as custodian
• Injective’s price remains in a short-term downtrend, with momentum indicators still favoring sellers

If approved, the fund would hold Injective tokens directly and track spot price performance while generating additional yield through staking. Canary plans to stake all INJ held by the trust via one or more third-party staking providers, though specific partners have not yet been disclosed. The ETF would be listed on Cboe and structured to allow share creation and redemption in large blocks, following standard ETF mechanics.

Custody, Indexing, and Fund Structure

The updated filing outlines how responsibilities would be divided among service providers. BitGo Trust Company has been selected as the digital asset custodian, while U.S. Bancorp Fund Services would act as transfer agent and cash custodian. Paralel Distributors is named as the marketing agent for the trust.

The ETF would track Injective’s price using a dedicated INJ-USD reference index. However, several commercial details remain outstanding, including the fund’s ticker symbol and management fee, which are expected to be disclosed in future amendments if the SEC review progresses.

INJ Price Remains Under Pressure

The regulatory update comes as Injective’s price continues to trend lower in the short term. On the 4-hour chart, INJ has been forming lower highs and lower lows after failing to hold above the $5.80–$6.00 resistance area earlier this month, confirming a clear downtrend.

Momentum indicators reinforce the bearish setup. The Relative Strength Index (RSI) is hovering near the low-30s, signaling weak buying interest and keeping the asset close to oversold conditions without a clear reversal. Meanwhile, the MACD remains below the zero line, with both lines pointing lower, suggesting downside momentum is still dominant.

What Traders Are Watching Next

Trading volume has remained muted during recent bounce attempts, indicating a lack of conviction from buyers. For the near term, traders are watching whether INJ can reclaim the $5.00–$5.20 zone with stronger volume. Failure to do so would likely keep pressure on the downside, with any short-term rebounds viewed as corrective rather than trend-changing.