Canary Capital Files to Launch ETF Tracking Cross-Chain Protocol Axelar

Canary Capital, a digital asset-focused investment firm established by former Valkyrie Funds co-founder Steven McClurg, is preparing to introduce an exchange-traded fund (ETF) that will monitor the price of Axelar (AXL). The company formally filed an S-1 document with the Securities and Exchange Commission (SEC) on Wednesday to initiate the process for launching this fund. Canary Capital had previously submitted paperwork for various other ETFs, some of which have already been recognized by the Commission and are pending approval. "Axelar boasts one of the most exceptional dev teams in blockchain. Numerous viable protocols collaborate with them for chain interoperability," remarked Steven McClurg, the Chief Executive Officer at Canary Capital. "It is undisputed that AXL will emerge as a top 20 token by market capitalization as it gains recognition in the market. This is the reason why we embraced this opportunity." AXL serves as the native token of the Alexar Network, a cross-chain protocol that links different blockchains to enable decentralized, secure cross-chain transactions. In contrast to many interoperability solutions relying on a limited number of validators, Axelar functions on a proof-of-stake consensus model, permitting anyone to engage in its network, as mentioned by Sergey Gorbunov, the co-founder of Axelar, in an interview with CoinDesk. The protocol, previously integrated by J.P. Morgan’s Kinexys platform, Microsoft’s Azure marketplace, along with Uniswap and MetaMask, additionally disclosed the appointment of former Coinbase chief legal officer and Acting Comptroller of the Currency Brian Brooks to its newly established Institutional Advisory Board. Gorbunov stated, "Brian brings a profound comprehension of how to ensure blockchain adoption within traditional finance. He comprehends the pain points faced by these asset issuers and believes that decentralized interoperability is crucial to avoid the introduction of these issues in the process." According to Gorbunov, stablecoins and tokenization are poised to become the next significant trends for institutions in the crypto sector, driven by regulatory advancements and efficiency enhancements. An anticipated stablecoin bill in the upcoming months could pave the way for more financial institutions to issue and incorporate stablecoins, with companies like PayPal, BlackRock, and Robinhood already exploring their utility for settlement to minimize expenses. AXL is presently trading at $0.36 and holds a market cap of $340 million, as reported by CoinDesk data. The token achieved its all-time high in March 2024 at $2.69 but has since experienced a decline. *Disclaimer: Portions of this content were created with the support of AI tools and were thoroughly reviewed by our editorial team to ensure precision and adherence to our guidelines. For additional details, refer to CoinDesk’s comprehensive AI Policy.*