Canary Capital filed to list an ETF holding the PENGU token and Pudgy Penguins NFT, marking the first such product in the US if approved.
ETF for PENGU and Pudgy Penguins
Asset manager Canary Capital has filed to list an exchange-traded fund (ETF) holding Pengu (PENGU), the governance token of the Pudgy Penguins NFT project. If approved, it would be the first US ETF to hold NFTs. The ETF is intended to hold spot PENGU as well as various Pudgy Penguins NFTs. The trust will also include other digital assets such as SOL and ETH that are necessary or incidental to transactions involving PENGU and Pudgy Penguins NFTs.
Political Shifts and Crypto Embrace
Since US President Donald Trump took office, there's been a focus on digital asset development, aiming to make America 'the world's crypto capital.' This shift in policy deviates from the previous administration under Joe Biden, which implemented over 100 actions against crypto firms. In recent months, the US began considering numerous applications for new crypto-linked investment products.
Industry Reaction and Prospects
Despite the growing number of crypto-linked ETF applications, some analysts are skeptical about their success in traditional markets. Crypto researcher Alex Krüger commented that most such funds are unlikely to attract significant assets under management and could become unprofitable for issuers. Meanwhile, new Solana futures ETFs were launched, tracking its performance with varying leverage.
The introduction of an ETF for PENGU and Pudgy Penguins NFT represents a significant step for investors interested in new crypto products. However, the success of such funds remains uncertain due to market volatility.
