Canary Capital unexpectedly submitted a sign up for SEI ETF in America.

Canary Capital investment management company has just submitted an application for a trust fund to deploy an ETF for the Sei token (SEI) that is staked in the state of Delaware, marking the first step towards the launch of this product. To move further, Canary is likely to continue submitting Form S-1 to the Securities and Exchange Commission (SEC) in the near future.

Staked SEI ETF is being launched

According to the official website of the state of Delaware, the trust fund named "Canary Staked SEI ETF" was registered on April 23 with the file number 10171975.

Application for staked SEI ETF | Source: Official website of the state of DelawareThis move comes just days after Canary also filed for the establishment of an ETF fund for the Tron token (TRX) staked on April 18. Additionally, the company is also pursuing ETF funds for various other altcoins such as Pudgy Penguins (PENGU), Axelar (AXL), Solana (SOL), or XRP,… – demonstrating ambitions to expand the investment sector based on cryptocurrency assets.

If approved, the Canary staked SEI ETF will mimic the price fluctuations of SEI like traditional ETFs, but with the added benefit of staking rewards. This could help investors access the market while generating passive income. However, currently, there are no spot cryptocurrency ETFs approved in America that feature staking.

The SEC has always been very cautious about staking activities in ETF funds, as evidenced by the fact that many previous staking ETF proposals have been rejected. However, in the context of the new administration being more friendly towards cryptocurrencies, ETF issuers are continuing to reapply.

In February, Franklin Templeton submitted an S-1 form to launch the SOL ETF with staking features. Additionally, the New York Stock Exchange (NYSE) has also submitted a request to the SEC on behalf of Grayscale, seeking permission to add staking features to the spot ETH ETFs.

However, the SEC has extended the deadline for making a decision from April 17 to July 2025. This indicates that, despite the wave of new filings, the regulatory body is still not ready to "give the green light" for this type of product, and Canary's staked SEI ETF may face a prolonged approval process.

Although not yet approved, the sign up for the staked SEI ETF is taking place against the backdrop of increasing interest from major organizations in Sei. Recently, the financial organization World Liberty Financial (WLFI) – a DeFi project backed by President Donald Trump – has accumulated 5.9 million SEI with a value of approximately 1.1 million USD, according to data from Arkham Intelligence.

"SEI is not just making promises - they are taking action, and large organizations have started to take notice," a user commented on platform X.

At the same time, the Sei Foundation is also actively expanding in the American market. On April 2, this organization announced the establishment of the Sei Development Foundation with the goal of promoting the growth of the Sei protocol, while also supporting developers and building the ecosystem.

Despite the above advancements, the price of SEI still faces many challenges as this altcoin has dropped by up to 70% in value over the past 12 months. Specifically, in the last 24 hours, SEI has lost an additional 2.2%, currently trading around the level of 0.19 USD.

SEI Price Chart | Source: TradingViewAlong with the price, the Total Value Locked (TVL) of Sei also decreased. According to DefiLlama, after reaching ATH last week, the TVL index of Sei has dropped by 8.3%, currently standing at 384 million USD.

Disclaimer: This article is for informational purposes only and is not investment advice. Investors should conduct thorough research before making any decisions. We are not responsible for your investment decisions.

Justin