tl;dr
Canary Capital CEO Steven McClurg discusses the firm's unconventional altcoin ETF filings, aiming to engage with emerging tokens with potential and unmet demand. The filings include the first spot Litecoin (LTC), Hedera (HBAR), and Axelar (AXL) ETFs, as well as an NFT collection ETF. McClurg explain...
Canary Capital CEO Steven McClurg discusses the firm's unconventional altcoin ETF filings, aiming to engage with emerging tokens with potential and unmet demand. The filings include the first spot Litecoin (LTC), Hedera (HBAR), and Axelar (AXL) ETFs, as well as an NFT collection ETF. McClurg explains the rationale behind each filing, emphasizing a proactive approach to identify opportunities before they become industry trends. He also shares insights on the regulatory landscape, expressing caution about the timeline for altcoin ETF approvals.
In a recent interview with CryptoSlate, McClurg explained the rationale behind the company’s filings, ranging from the first Litecoin (LTC) ETF to the first fund to give exposure to a non-fungible token (NFT) collection in the US. He emphasized the firm's conscientious approach to time and money, ensuring that each filing is viable.
Canary Capital filed the first spot Litecoin ETF, attributing the decision to the likelihood of approval under the old SEC administration, considering LTC's classification as a non-security. The firm also filed the first spot Hedera (HBAR) ETF, aiming to identify overlooked tokens with potential demand before they become industry trends. Additionally, the filing for a spot Axelar (AXL) ETF reflects the firm's forward-looking approach and its emphasis on early identification of demand.
Canary also incorporated NFTs into ETF structures, choosing the Pudgy Penguins collection due to its IP expansion beyond digital ownership, including physical merchandise and media content. McClurg highlighted the brand and IP development of Pudgy Penguins as key factors in its selection.
McClurg is cautious about the timeline for altcoin ETF approvals, drawing from his experience with asset manager Valkyrie's Bitcoin ETF. However, he predicts potential approval of up to four single-token altcoin ETFs next year, considering the improving regulatory landscape under the SEC’s new leadership.