PENGU Skyrockets as SEC Moves Forward With Canary ETF Proposal Featuring NFTs

Pudgy Penguins (PENGU) soared nearly 24% on Tuesday, hitting its highest level since January 2025, after the U.S. Securities and Exchange Commission (SEC) officially acknowledged the proposed Canary PENGU ETF—an unconventional crypto product combining tokens and NFTs.

The SEC’s move to accept the ETF filing for review marks a key step forward for the meme coin and could potentially pave the way for the first altcoin-based exchange-traded fund of its kind. The Canary PENGU ETF, submitted by Canary Capital and backed by Cboe BZX Exchange, aims to allocate 80–95% of its assets to PENGU tokens and 5–15% to Pudgy Penguins NFTs.

This hybrid structure—part crypto, part digital collectibles—is a first in the ETF world.

The SEC’s notice, filed under Section 19(b)(1) of the Securities Exchange Act, now opens a 21-day public comment period. While the regulator has yet to greenlight any meme coin ETFs, this acknowledgment alone has ignited a fresh wave of investor enthusiasm.

Price Surge Follows Familiar Pattern

At press time, PENGU traded at $0.018, up 23.54% in 24 hours, and became the day’s top gainer on CoinGecko. The move echoes previous double-digit rallies in March and June, when early ETF-related filings also triggered strong upward momentum.

Chart analysts have pointed to a developing cup-and-handle pattern—a classic bullish setup that could signal continued gains if resistance is broken. Some market watchers even believe that PENGU could evolve into the standout meme coin of this cycle, with the ETF acting as a major inflection point.

Trump-Era SEC Shows Openness to Crypto Innovation

Under the Trump administration, the SEC has become increasingly receptive to crypto-related financial products, having approved multiple spot Bitcoin and Ethereum ETFs earlier in 2025. The acknowledgement of the Canary PENGU ETF continues that trend, despite lingering concerns around the volatility and speculative nature of meme coins.

Outlook: Bullish but Cautious

Though investor sentiment is strong and technical indicators are flashing green, experts caution that meme coins remain inherently volatile. The ETF progress gives PENGU momentum, but its long-term success will depend on broader market conditions, regulatory clarity, and sustained community engagement.

Still, as one analyst put it, “This may be the moment PENGU transitions from a meme to a market force.”