Canary Capital Launches First Spot SUI ETF with Staking Rewards
By John Nada·Feb 18, 2026·4 min read
Canary Capital launches SUIS, the first spot ETF with staking rewards, offering direct exposure to Sui's native token and reflecting net staking income.
Canary Capital has launched the SUIS fund, marking the debut of the first spot ETF linked to the Sui network that includes staking rewards. This Nasdaq-listed ETF allows investors to gain direct exposure to Sui’s native token while simultaneously benefiting from proof-of-stake rewards, effectively merging traditional investment vehicles with decentralized finance principles. The Canary Staked SUI ETF is designed to track the price performance of Sui, a blockchain developed by former Meta engineers associated with the Diem project. Notably, the fund's net asset value reflects net staking income, offering investors both price exposure and on-chain yield within a regulated ETF structure.
This innovative approach expands the category of proof-of-stake tokens available in regulated financial products, signaling a significant shift in how crypto assets are packaged for institutional and retail investors. The SUIS fund deepens the crossover between proof-of-stake networks and traditional investment vehicles. By allowing investors to access Sui's price performance while participating in the network’s validation process, Canary Capital is appealing to a growing audience that seeks both exposure to emerging blockchain technology and the benefits of staking rewards. This feature is particularly attractive to investors who may feel apprehensive about the complexities of managing private keys or engaging in validator operations, which are often seen as barriers to entry in the cryptocurrency space.
The token underpins the Sui Network, which has positioned itself as a platform for various consumer-facing applications. This includes areas such as decentralized finance (DeFi), gaming, and digital marketplaces. The Sui Network, built by a team of former Meta engineers, aims to leverage their experience to create a more robust blockchain ecosystem that can support a wide array of innovative applications. The successful launch of the SUIS fund could potentially drive further interest in the Sui Network, as more investors seek to understand and engage with its capabilities.
Canary Capital's listing of the SUIS fund is part of a broader trend within the cryptocurrency landscape, where crypto ETFs are diversifying beyond the well-established cryptocurrencies like Bitcoin and Ethereum. The integration of staking into the ETF structure is a relatively novel approach that could set a precedent for future offerings. By reflecting net staking income in the fund's net asset value (NAV), the SUIS fund not only provides price exposure but also offers a unique yield component that appeals to income-seeking investors. This listing aligns with the recent entry of Grayscale's Sui Staking ETF (GSUI) on NYSE Arca, which highlights a growing competitive landscape for crypto ETFs.
As more products are introduced, investors will have access to a wider range of options that cater to different risk appetites and investment strategies. The ongoing expansion of crypto ETFs indicates a maturation of the market, as issuers work to package newer layer-1 networks for both institutional and retail investors. The regulatory environment surrounding cryptocurrency and related financial products has been evolving, with regulators showing increasing interest in yield-bearing crypto products within traditional wrappers. The SUIS fund serves as a litmus test for regulators' tolerance regarding these types of investment vehicles.
By successfully launching an ETF that incorporates staking rewards, Canary Capital may pave the way for other financial institutions to explore similar offerings, potentially reshaping the landscape of regulated cryptocurrency products. For investors looking for a brokerage-based entry point into the world of cryptocurrency, the SUIS fund presents a compelling opportunity. The embedded staking rewards offer a way for investors to earn passive income while gaining exposure to the price movements of Sui's native token. This model simplifies the investment process, allowing individuals to partake in the benefits of decentralized finance without needing extensive technical knowledge or involvement in the operational aspects of staking.
Moreover, as the cryptocurrency market continues to mature, the introduction of products like the SUIS fund could signal a shift in how traditional finance interacts with digital assets. The blending of established financial instruments, such as ETFs, with the innovative features of blockchain technology reflects a growing acceptance of cryptocurrencies in mainstream finance. This evolution may encourage more institutional players to enter the space, further legitimizing the blockchain ecosystem. As we look ahead, the implications of the SUIS fund's launch could extend beyond individual investors and institutions.
It may catalyze further discussions on regulatory frameworks, market dynamics, and the future integration of blockchain technology with traditional financial systems. With the crypto landscape continuously changing, the introduction of such investment vehicles is likely to attract significant interest from various stakeholders keen to explore the potential of decentralized finance. Investors should remain informed about these developments, as the SUIS fund and similar products could play a pivotal role in shaping the future of cryptocurrency investment strategies.