TRX ETF Launches with Built-in Staking Rewards
The Canary Capital TRX ETF is set to launch on Cboe BZX from Wednesday onwards, allowing U.S. investors to invest in Tron's TRX tokens and earn staking rewards without dealing with a cryptocurrency wallet.
According to the source, 90% of the TRX held in the fund will be put into staking, with a 20% service fee levied on the resulting reward. The remaining 80% will stay within the fund, increasing its total value.
The sponsor fee for this ETF is 1.10% per year, payable monthly in TRX or cash. This fee is higher than that of most Bitcoin ETFs in the U.S., which typically range from 0.19% to 0.25%. However, these ETFs do not earn staking rewards.
This move could set a new standard for crypto ETFs in the U.S., particularly as asset managers seek ways to incorporate staking into their investment products. Several other companies have attempted to obtain regulatory approval for altcoin-based ETFs, but most are still undergoing SEC review.