Canary Files 19b-4, Bringing HBAR ETF Closer to Approval

Canary HBAR ETF and Litecoin ETFs Gain Edge Amid SEC’s Review Process

Canary has officially filed the 19b-4 form for its HBAR ETF, marking another crucial step in its journey toward approval. This follows last week’s amendment to its S-1 registration statement, indicating that the U.S. Securities and Exchange Commission (SEC) has provided comments. Industry experts believe this could put HBAR and Litecoin ETFs in a favorable position among the growing list of altcoin ETF applications.

What Does the 19b-4 Filing Mean?

A 19b-4 filing is a request submitted by an exchange to change its rules, which, in this case, is to list and trade the HBAR ETF. While this does not mean immediate approval, it is a significant milestone in the ETF approval process. With this filing, the SEC now has a set timeframe to review the proposal and decide whether to approve or reject it.

Canary's decision to proceed with the HBAR ETF highlights the increasing demand for cryptocurrency-based financial products. If approved, this would allow institutional and retail investors to gain exposure to HBAR without directly purchasing or managing digital assets.

Why HBAR and Litecoin ETFs Have an Edge

According to ETF analysts, including Eric Balchunas, the SEC's engagement with Canary suggests a higher probability of success for HBAR and Litecoin ETFs. This is because the SEC has already reviewed the S-1 amendment, meaning they are actively considering the proposal.

Additionally, the SEC has recently shown openness toward crypto ETFs, particularly after approving Bitcoin spot ETFs earlier this year. The trend indicates that regulators are slowly warming up to the idea of expanding ETF options beyond Bitcoin and Ethereum.

Impact on the Crypto Market

If the HBAR ETF gets approved, it could lead to:

• Increased institutional adoption – More investors may enter the market, boosting demand for HBAR.

• Positive price movement – As seen with Bitcoin ETFs, approval could drive a surge in HBAR’s value.

• A domino effect for other altcoin ETFs – A successful listing could pave the way for other altcoin ETFs to gain approval.

SEC's Growing List of Crypto ETF Filings

The SEC has been actively reviewing crypto ETF applications. In addition to HBAR, it has acknowledged filings for:

• Grayscale’s Cardano ETF

• Cboe’s XRP ETF

• Grayscale’s Spot XRP and Dogecoin ETFs

The most recent update came on Feb. 24, 2025, when the SEC acknowledged NYSE Arca’s proposal to list and trade Grayscale’s Cardano Trust as a spot Cardano ETF. This acknowledgment marks the first step in the regulatory process, starting the countdown for the SEC to either approve or reject the proposal.