(Reuters) -Digital asset manager Canary Capital on Tuesday filed to list an exchange-traded fund tracking the price of the $TRUMP meme coin, a crypto token whose fortunes intertwine with U.S. President Donald Trump.
The ETF could let investors tap into a politically charged meme coin, and allow Canary to package sentiment-driven speculation into a regulated investment product.
If approved by the Securities and Exchange Commission — whose Chair Paul Atkins has taken a softer stance towards crypto — the ETF could begin trading in the coming months.
Meme coins’ value is dictated by internet buzz or cultural relevance rather than technological utility or fundamentals. The highly volatile tokens can offer outsized returns, as well as risks.
The $TRUMP coin was launched three days before the president’s inauguration in January. It took off on social media, and a Reuters analysis in July found that major crypto exchanges rushed to list it far faster than other meme tokens.
The token has also come under criticism from some ethics experts, who argue it presents a serious conflict of interest for Trump.
The White House, however, has denied wrongdoing, stating that the president’s assets are held in a trust managed by his family and that there is no conflict of interest.
Canary did not disclose the fees it expects to charge on the ETF, or the exchange on which it will be listed.
Its latest filing came just a day after it filed for another ETF to offer exposure to crypto tokens that were either created or minted in the U.S.
(Reporting by Niket Nishant in Bengaluru; Editing by Sahal Muhammed)
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