Canary Capital's staked Injective (INJ) exchange-traded fund reported $16.12 million in net assets after its first two trading sessions on Nasdaq, according to the fund's published figures, even as its share count held steady at 600,000 throughout the period.

Published records show that no new shares were created during those initial sessions, which means the rise in assets cannot be counted as new investor subscriptions and instead reflects changes in the value of the fund's existing holdings.

The fund began trading on November 5 under the ticker INJC, and one day later Injective Labs CEO Eric Chen joined Canary Capital CEO Steven McClurg to ring the Nasdaq opening bell.

Assets Climb While Share Count Holds Steady

The fund started with $15 million in net assets and 600,000 shares outstanding on November 4, the same day Nasdaq's listing notice named Flow Traders U.S. as the fund's designated liquidity provider.

By the close of its first session on November 5, assets had grown to $15.64 million while the share count remained unchanged. Friday's figures placed net assets at $16.12 million, the fund's highest reported level since listing.

Shares closed at $26.90, up $0.75 for the session, while the fund's net asset value stood at $26.86. That left the closing price about 0.17%, or $0.04, above net asset value, and trading volume for the day reached 11,931 shares. Flow Traders U.S. is responsible for supporting trading in the newly listed product, a role in which designated liquidity providers quote two-sided prices to help keep a new ETF's market price aligned with its net asset value.

Under standard ETF mechanics, new shares come into existence only when an authorized participant delivers the underlying assets to the fund in exchange for freshly issued shares. With the count fixed at 600,000 so far, the fund's published daily updates on net assets, share count and staking status are the records that will show whether that creation process begins.

How the Staking Structure Works

Unlike a standard spot crypto fund, which simply holds the underlying token, INJC aims to earn additional tokens through Injective's proof-of-stake system. Rather than being paid out to shareholders, rewards net of costs are added to the fund's net asset value.

Canary's SEC filing states that the fund expects to stake at least 90% of its INJ holdings under normal conditions. The sponsor is permitted to keep a portion of the tokens unstaked to cover expenses, redemptions and other operational needs. On November 6, the fund reported that 100% of its eligible holdings were staked or queued for staking through Luganodes.

The fund charges an annual sponsor fee of 1.10%. Its website displayed a 0.00% net staking yield on November 6, a figure based on past reporting periods that does not indicate what rewards the newly launched fund will actually earn. Only as the fund builds its own post-launch reporting record will its published yield figures show the rewards it captures net of costs.

The product carries staking risks, including possible penalties if validators fail to meet network rules. It is also not registered under the Investment Company Act of 1940, which means it lacks the protections available to traditional registered funds.

"The Canary Staked INJ ETF gives investors access to a blockchain purpose-built for finance through a familiar exchange-traded structure," McClurg said in Canary's launch announcement. Canary first established a Delaware trust for the product before filing an amended registration statement with the SEC.

Injective's Institutional Push

The ETF's debut came in the same week that Injective announced new institutional services. On November 2, the network introduced Institutional Rail, a service that connects financial institutions directly to the network's block-production infrastructure through dedicated APIs. According to Injective, the offering provides predictable transaction inclusion and early acknowledgments while institutions retain custody of their own assets. Banks, trading firms and enterprise applications were identified as potential users, with access initially opening to selected institutions.

Injective reported more than 3.13 billion cumulative transactions as of October 22. The network has burned approximately 7.27 million INJ through its token buyback system, and Canary cited more than $1 billion in tokenized assets issued on Injective. Taken together, the launch week highlighted two distinct access points to the network: the ETF's exchange-traded wrapper for investors in listed securities and Institutional Rail's direct API connection for institutions interacting with block production themselves.

INJ Market Snapshot

INJ traded near $8.10 on November 9, little changed over 24 hours after posting a gain of about 12.74% over the previous seven days. The token moved between $7.82 and $8.29 in its latest session, with a market capitalization of roughly $810 million.

The 14-day Relative Strength Index stood at 53.95. Resistance was positioned near $8.30, followed by the $8.69 to $9 range, while $7.80 marked the nearest support level.

This article was originally published by CoinCentral.