Canary Capital files 19b-4 for Hedera HBAR ETF

The Nasdaq Stock Market LLC, on behalf of Canary Capital, submitted a 19b-4 filing with the U.S. Securities and Exchange Commission on Monday for a spot Hedera exchange-traded fund. Back in November, the crypto investment firm was the first to file an S-1 registration for the Canary HBAR ETF, a fund that will “provide exposure to the value of the native asset of the Hedera Network."

A 19b-4 filing is the second part of a two-step process for proposing a crypto ETF to the SEC. Once acknowledged by the SEC, the filing will be published in the Federal Register, initiating the agency's approval process.

Hedera is a decentralized public network that uses the Hashgraph consensus algorithm to facilitate fast and secure transactions globally. Unlike other cryptocurrencies, Hedera is governed by a council composed of prominent companies and organizations responsible for decision-making and token distribution.

"Although the primary purpose of the Hedera Network is not to operate a payments system or store of value, like most public distributed ledger technology (“DLT”) networks, the Hedera Network requires a cryptocurrency to properly operate and incentivize consensus and behavior on the network," according to the filing.

Bloomberg analysts recently estimated Litecoin ETFs have the highest chance of approval (90%) among the wave of spot crypto ETFs.