In a significant development for the cryptocurrency investment landscape, Canary Capital Group has filed with the U.S. Securities and Exchange Commission (SEC) to launch the first-ever exchange-traded fund (ETF) tied to the spot price of Sui (SUI), a digital asset from the Sui Network. This filing marks Canary Capital’s sixth cryptocurrency ETF application, reflecting a broader trend of increasing institutional interest in digital assets and a shifting regulatory environment under the new U.S. administration.
Canary Capital’s proposed Sui ETF aims to provide investors with direct exposure to the price movements of SUI tokens. According to the preliminary prospectus filed on March 17, 2025, the ETF will hold SUI tokens and calculate its net asset value (NAV) based on the CoinDesk Indices, Inc.’s pricing benchmark. The fund’s assets will be custodied by a third-party provider, ensuring secure storage of the digital assets.
The Sui Network, known for its high-performance blockchain designed for decentralized applications, has seen growing adoption. With a market capitalization exceeding $7.4 billion, SUI ranks among the top 25 cryptocurrencies, making it a compelling candidate for institutional investment vehicles like ETFs.
The filing comes amid a notable shift in the U.S. regulatory landscape concerning digital assets. Since the election of President Donald Trump, there has been increased optimism for the approval of various cryptocurrency ETFs. The new administration has signaled a more favorable stance toward digital assets, including dropping enforcement actions against major cryptocurrency entities and reconsidering stricter custody rules proposed by the previous administration. However, final decisions on ETF approvals may be delayed until the confirmation of Paul Atkins as the new SEC chair.
Steven McClurg, founder of Canary Capital, expressed optimism about the prospects of ETF approvals under the new regulatory regime. “There’s been a tremendous shift in the landscape and mood among cryptocurrency market participants since the election,” McClurg stated. “I’m pretty optimistic that we’re on track to see many of these approved before the end of 2025.”
Canary Capital is not alone in pursuing a Sui-based ETF. Swiss asset manager 21Shares has also filed for a spot Sui ETF in the U.S., following its launch of a Sui staking exchange-traded product in Europe in July 2024. The 21Shares Sui ETF aims to track the performance of SUI held by its U.S. subsidiary, with Coinbase Custody securing the fund’s assets.
The growing interest in Sui ETFs underscores the increasing demand for investment products that provide exposure to emerging blockchain networks. These developments reflect a broader trend of diversification in the cryptocurrency ETF space, moving beyond Bitcoin and Ethereum to include a wider array of digital assets.
The announcement of the Sui ETF filings has had a positive impact on the market. Following the news, the price of SUI experienced a notable increase, reflecting investor enthusiasm for the potential institutional adoption of the token. As of the latest data, SUI is trading at $3.45, with a 24-hour change of -0.06504%.
The introduction of ETFs tied to digital assets like SUI could significantly enhance market liquidity and provide investors with more accessible avenues for exposure to cryptocurrencies. However, the success of these products hinges on regulatory approvals and the establishment of robust infrastructure to support secure and efficient trading.
Canary Capital’s filing for a Sui ETF represents a pivotal moment in the evolution of cryptocurrency investment products. As regulatory frameworks adapt to the rapidly changing digital asset landscape, the approval and launch of such ETFs could pave the way for broader institutional participation in the crypto market. Investors and industry stakeholders will be closely monitoring the SEC’s response to these filings, which could set the tone for future developments in the space.