Injective Takes a Leap with First US Based Staked INJ ETF Filing

Hedge fund manager Canary Capital formally submitted an application to the U.S. Securities and Exchange Commission (SEC) for a first-of-its-kind Staked INJ ETF. The ETF would give investors regulated access to Injective’s native token (INJ) while generating staking rewards, offering a dual benefit of exposure and passive yield.

Named the Canary Staked INJ ETF, the proposed fund marks a historic step for both Injective and the broader DeFi ecosystem. If approved, it would be the first U.S.-based ETF offering regulated exposure to a staked Layer-1 token.

Injective, the Layer-1 blockchain focused on decentralized finance (DeFi) applications, views this filing as a watershed moment. 

“The Canary Staked INJ ETF represents more than just a new investment product; it's a bridge between the traditional financial system and the decentralized future that Injective is building.” Injective said in a statement. 

What the ETF Offers

The Canary Staked INJ ETF would track the price of INJ while participating in the blockchain’s proof-of-stake consensus mechanism. This means investors won’t just passively hold the asset—they’ll earn staking rewards distributed through the ETF structure.

Staking, a process by which users lock up crypto to secure the network, is central to many proof-of-stake chains. In Injective’s case, these rewards create aligned incentives between network security and investor returns.

Per reports, the ETF would lower technical barriers and provides secure, compliant access to staking-based yield. That combination could appeal to both retail and institutional investors seeking yield-bearing crypto exposure without the complexity of onchain participation.

Canary Capital’s Strategic Timing

The filing arrives as crypto-based ETFs gain mainstream traction. On July 10, 2025, spot Bitcoin ETFs saw over $1.18 billion in inflows in a single day. Ethereum ETFs collected a record $727 million on July 16.

Canary Capital, a digital asset fund with a growing presence in ETF innovation, has previously filed for XRP and Solana ETFs. The firm also established a Delaware Trust last month, laying legal foundations ahead of this filing.

The Canary Staked INJ ETF would be the first to offer both regulated exposure and staking rewards for INJ, making it a standout among its peers.

Injective recently added heavyweight council members including Google Cloud, T-Mobile, and BitGo—the latter managing over $100 billion in assets for clients.

Injective also submitted a formal policy proposal to the SEC’s Crypto Task Force, addressed to Commissioner Hester Peirce. It outlined a practical framework for DeFi regulation—showing that Injective isn’t just building technology, but shaping how it’s governed.

This level of regulatory engagement and institutional support forms a strong backdrop for the proposed ETF. 

The ETF filing also comes at a critical time during what lawmakers are calling “Crypto Week” in Washington. Congress recently passed three key bills—the CLARITY Act, the GENIUS Act, and the Anti-CBDC Surveillance State Act—each aimed at creating clear rules for tokens, stablecoins, and digital currencies. 

ETFs and the Global Push for Staking Access

Staked ETFs are becoming the next frontier. Asset managers like Grayscale and 21Shares are actively seeking SEC approval for similar products. In June, the SEC gave tentative approval for REX-Osprey’s staking-enabled Ethereum and Solana ETFs.

21Shares already launched a European AINJ ETP last year. The strong response to that product set the stage for Canary’s U.S. launch.

But the Canary ETF offers a key difference—it’s not just for American investors. Injective co-founder Eric Chen emphasized that the fund is meant to serve a global investor base, from institutions to individuals.

This approach could allow Injective to tap global capital while complying with U.S. regulatory requirements.