On June 25, 2025, Cboe BZX Exchange submitted Form 19b-4 to the U.S. Securities and Exchange Commission (SEC) to list the Canary PENGU ETF. This mid-sized Solana 
$86-based fund allocates 80-95% of its portfolio to the altcoin Pudgy Penguins (PENGU) and 5-15% to Pudgy Penguins NFTs. Additionally, SOL coins will be held to ensure smooth transaction processes. In March, Canary Capital had filed a Form S-1, and following this announcement, PENGU’s value rose by 2% to $0.009732.
SEC Eyes Canary PENGU ETF Submission
Form 19b-4 requests a regulatory change to allow fund shares to be traded like traditional securities. The document emphasizes that the net asset value of PENGU coin will be calculated daily, the creation-redemption process will be managed through authorized participants, and investors will be informed via low-latency data feeds. To maintain trading flexibility, the remaining assets will be kept in Solana and a limited number of additional cryptocurrencies. A constrained balance of SOL coins will also be maintained to cover transaction costs.
Upon publication in the Federal Register by the SEC, a 45-day initial review period begins for the application but can extend the decision timeframe up to 240 days if necessary. Canary Capital responded to regulatory transparency demands, referencing President Donald Trump’s vision for leadership in cryptocurrencies. Details of the fund’s custody and audit procedures were thoroughly provided.
PENGU Coin Gains Momentum
ETF analyst Eric Balchunas deemed the approval likelihood “high,” based on previous Solana-focused ETF examples. Balchunas also noted the fund’s unique NFT component as a point of interest for SEC examination. With a fully diluted value of $745 million and a 24-hour trading volume of $124 million, PENGU could support the creation-redemption mechanism of the fund, facilitating institutional portfolios’ entry into the memecoin market, and potentially increasing trading depth.
Currently, PENGU coin is traded on major centralized exchanges like Binance, Coinbase, and Kraken, as well as leading decentralized exchanges. On-chain data indicates large wallets accumulating PENGU coins alongside their NFT collections. Once the ETF launches, retail investors will have the opportunity to invest in PENGU through brokerage accounts. Experts suggest that this access could gradually reduce price volatility and that the expansion of liquidity centers might limit slippage in high-volume trades.
