Crypto ETF Showdown: 21Shares and Canary Capital Ignite Race for First-Ever SUI Spot Fund on Nasdaq
Crypto investors are watching closely as the competition heats up for the first SUI spot ETF in the U.S., with 21Shares and Canary Capital now locked in a high-stakes race. Seeking to capitalize on the surging demand for regulated crypto investment vehicles, 21Shares has moved to list a Sui (SUI) spot exchange-traded fund on Nasdaq, marking a milestone moment for digital asset adoption.
The main keyword, “crypto ETF,” dominates discourse as 21Shares filed a critical 19b-4 form with the U.S. Securities and Exchange Commission (SEC) on May 23. The proposal designates Coinbase Custody and BitGo as custodians for this prospective digital asset product, ensuring secure storage and robust compliance. Notably, the SEC’s decision process is now officially underway, with an initial determination expected by January 18, although regulators have a 240-day window for deliberation—a period marked by potential extensions and market anticipation.
This bid is not 21Shares’ first foray into SUI-based investment solutions. The issuer already offers a SUI staking ETP in Europe, trading actively on major exchanges and touting a 1.52% staking yield with over $168 million in assets under management. Such international experience bolsters 21Shares’ credentials as U.S. ETF scrutiny intensifies amid a rapidly evolving DeFi and altcoins landscape.
In parallel, Canary Capital is advancing its own SUI ETF ambitions. The firm registered its Sui trust in Delaware in March and quickly followed with the necessary filings to the SEC and through Cboe BZX exchange, highlighting how multiple proposals are fueling competitive momentum within the digital asset fund sector. The SEC’s review now covers both funds separately, with each application facing similar regulatory timelines and hurdles.
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Despite the bullish sentiment around these ETF filings, the SUI token faced short-term price pressure. After the 21Shares announcement, SUI dropped nearly 8% on the day, bottoming out at $3.40 before staging a partial rebound to $3.70—hovering near the technical barrier of the 20-day EMA. Such volatility underscores the dynamic interplay between regulatory news and crypto token price action.
Expert analysts agree the approval of a SUI spot ETF would be a major milestone for blockchain adoption, potentially opening the doors for institutional inflows and new staking products in the U.S. However, with the SEC’s 240-day window and history of regulatory delays, investors should monitor both projects closely for updates affecting the broader crypto market.
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