Canary PEPE ETF Filing Advances Memecoin Exposure for Institutional Investors

Canary Capital is pushing forward with its proposed PEPE ETF, filing an amended S-1 that provides new operational details for the fund. The trust would hold PEPE directly and seek to reflect the token's market price after expenses. BitGo would provide custody, while Cboe BZX is the proposed exchange.

The filing comes as PEPE trades near $0.000004272, down about 2.33% over seven days. Bloomberg ETF analyst Eric Balchunas views the amendment as a sign that issuers are becoming more comfortable testing the boundaries of the crypto ETF market.

Canary intends to hold PEPE directly, rather than using futures or other derivatives to replicate its performance. The fund would calculate its net asset value using the CoinDesk PEPE Benchmark Rate 60m NY Rate. Creation and redemption would occur in 10,000-share baskets.