Canary Capital filed a second S-1 amendment for a spot SEI ETF targeting roughly 90% staked holdings. The revised filing drops Coinbase and names BitGo as sole custodian, with a Cboe BZX list
Canary Capital submitted a second amendment to its Form S-1 for the Canary Staked SEI ETF on September 21, a day after Sei flagged the change, sending SEI up more than 30% in a day to trade near $0.063. The revised filing sets a target of roughly 90% of the fund’s SEI to be staked, with all assets custodied by BitGo, and the product is slated to list on the Cboe BZX exchange, though the ticker and sponsor fee remain undisclosed. The move gives brokerage investors a regulated route to spot SEI exposure that also captures the network’s proof-of-stake yield, and the market read it as a step closer to a live product.
Canary Capital has filed Amendment No. 2 to its S-1 for a Staked SEI ETF.
The ETF will hold spot SEI. The new amendment substantially revises the staking mechanics, estimating ~90% staked, custodied solely in @BitGo. pic.twitter.com/bv8smJWyJS
— Sei (@SeiNetwork) September 20, 2026
The structural change buried in this amendment matters more than the headline number. Earlier versions of the filing leaned on a dual-custody model that split safekeeping between BitGo and Coinbase Custody. The current draft names BitGo Trust Company as the sole custodian, a South Dakota-chartered trust that handles digital-asset custody for the fund. Consolidating custody and staking under one regulated entity simplifies the operational chain that an ETF has to defend to the SEC, and it concentrates the staking workflow, slashing exposure and lockup handling with a single counterparty rather than two.
The 90% figure is the aggressive part. A spot Bitcoin ETF only tracks price. A staked SEI product has to keep a large share of its coins locked in validation to earn rewards while still holding enough liquid SEI to meet daily redemptions, which is the balancing act the amendment is trying to formalize.
Amendment No. 2 at a glance Underlying asset Spot SEI Staking target ~90% of holdings Custodian BitGo Trust Company (sole) Listing venue Cboe BZX Exchange NAV benchmark CoinDesk SEI Benchmark Rate Ticker and fee Not yet disclosedCanary is not treating SEI as a one-off. The issuer has pushed a parallel slate of yield-bearing altcoin products, including a Staked TRX ETF built around a 1.10% sponsor fee, which frames the SEI amendment as one piece of a broader land grab in staked-asset wrappers rather than an isolated bet.
SEI’s breakout candle pushed RSI to 87.74. Source: TradingView.
SEI ran from a mid-September base near $0.045 to roughly $0.063 as the filing hit, closing the session up about 33% on the day and 41% over the week, with a market cap around $476M. The breakout candle printed on the heaviest volume visible on the 4-hour chart, near 110 million SEI, which tells you the move drew real participation and not a thin-liquidity spike.
Price $0.06288 24h change +32.95% 7d change +40.85% RSI (14, 4h) 87.74 Market cap $476.69MThat strength comes with a warning attached. Readings above 70 flag an overbought market, so an RSI pushing toward 88 puts SEI near the top of that range and marks the kind of stretch that historically precedes at least a pause. Price is also trading well above its short-term averages, with the 20-period SMA at $0.05006 and the 50-period at $0.04626, meaning the current level sits far from where recent trading clustered. Momentum this hot can persist for a while, but the gap between price and those averages is the space a pullback tends to fill.
The ETF was the trigger, but SEI already had a technical narrative building under it. Sei published its Giga roadmap in late May, targeting more than 200,000 transactions per second and sub-400 millisecond finality, roughly a 40 to 50-fold jump over its prior benchmarks in the 5,000 to 12,500 TPS range. Giga is not one switch. It splits the chain into three specialized layers, execution, storage, and consensus, and ships them in stages across 2026.
Aug 4 The v6.6 upgrade deployed the Ares execution client and the Eidos storage layer, putting two-thirds of the Giga framework live on mainnet. Sep 1 Sei Labs posted 24-hour FlatKV benchmarks averaging 205,913 TPS, about a 13.7x speedup over the current event store. Sep 14 Sei confirmed the first Giga storage pieces live on mainnet, alongside 0.1-cent fees and MetaMask-sponsored gas. Pending Autobahn consensus remains the last major piece, swapping single-proposer blocks for a multi-proposer design.Ares swaps the old Go-native executor for an evmone-based engine, while Eidos replaces Merkle-tree state storage with a flat key-value structure. Benchmarks are not mainnet conditions, and that distinction is worth keeping in mind, but the FlatKV number gave traders a concrete performance talking point. Autobahn is the last major lever: it lets validators propose blocks in parallel, which is the mechanism meant to unlock the 200,000 TPS ceiling once it reaches mainnet.
The near-term path depends on two clocks that do not tick together. The ETF still needs the SEC to move the amended S-1 toward effectiveness, and staking-based products carry open questions on how regulators treat validation rewards inside a fund wrapper, so approval timing stays uncertain regardless of how the filing reads. The Giga rollout runs on its own schedule, with Autobahn still pending. A token trading at an RSI near 88 has priced in a good deal of optimism on both, which raises the bar for what the next catalyst has to deliver. Traders watching for follow-through will likely track whether SEI holds above its old resistance shelf near $0.05 on any cooldown, since that level flipping from ceiling to floor would say more about the durability of this leg than the size of the spike itself.
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