Canary Capital Pioneers First-Ever Hedera HBAR Spot ETF Filing Amid Post-Election Crypto Surge

Investment firm Canary Capital has filed a groundbreaking S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) for the first-ever spot Hedera (HBAR) exchange-traded fund. The November 12 filing marks a significant expansion of crypto investment vehicles beyond Bitcoin and Ethereum ETFs.

The proposed ETF would hold HBAR tokens directly without using derivatives or futures contracts, offering investors straightforward exposure to Hedera’s native cryptocurrency. HBAR serves as the fuel for the Hedera network, a decentralized platform known for its Hashgraph consensus algorithm and corporate governance structure.

This latest filing comes at a pivotal moment in the crypto investment landscape. Following the recent U.S. election, with President-elect Donald Trump’s victory, the regulatory environment appears poised for significant changes. Trump has publicly stated his intention to replace current SEC Chair Gary Gensler, potentially signaling a shift in crypto regulatory approach.

Steven McClurg, Canary Capital’s founder and former Valkyrie Funds executive, has positioned his firm at the forefront of crypto investment innovation. The company already launched an HBAR Trust for accredited investors in October and has pending applications for spot ETFs tracking Solana, XRP, and Litecoin.

The market responded enthusiastically to the filing, with HBAR’s price surging over 21% within hours of the announcement, reaching a four-month high. The token traded at approximately $0.07, reflecting growing investor interest in alternative cryptocurrency investment products.

While the SEC has previously approved Bitcoin and Ethereum spot ETFs earlier this year, the regulatory path forward for additional crypto ETFs remains uncertain. However, ETF industry experts suggest that filing activity may accelerate as firms anticipate a more crypto-friendly regulatory environment under the incoming administration.

The proposed fund would establish its Net Asset Value based on HBAR’s U.S. dollar price as calculated by CoinDesk, with assets secured in cold storage across multiple locations. If approved, this ETF would represent a significant milestone in the mainstream adoption of alternative cryptocurrencies and could pave the way for similar investment products in the future.