If INJC gets approved, how does the staking actually work? This will make you understand more about $INJ stake. Canary Capital’s proposed Staked INJ ETF is set up as a trust. It would hold INJ directly and stake most of it on @injective, so the rewards stay inside the fund and show up in the value of each share. Who handle what! Canary is the sponsor, but it doesn’t run its own validator. It uses outside staking providers, who delegate the tokens to validators. BitGo is the custodian and holds the private keys the whole time. The providers can only delegate. Filings target at least 90% staked in normal conditions. The rest stays unstaked as a buffer. That matters because unstaking on Injective takes 21 days, and during that time the tokens can’t move and earn nothing. The buffer lets the fund handle creations and redemptions on any trading day without waiting. How the rewards works: Injective is proof of stake. Validators secure the chain, and people who delegate INJ to them earn rewards in INJ after the validator takes its commission. In the ETF, the rewards go into the fund’s wallets after staking fees are split between the provider, the sponsor and the custodian. What’s left is added to the fund’s daily NAV and restaked. So you won’t get a payout. You’ll just see more INJ behind each share over time. Now here’s the risks you need to be aware of. Rewards aren’t guaranteed. They move with network conditions, how much INJ is staked overall, and how the chosen validators perform. A validator that’s offline earns nothing, and old reward rates don’t predict new ones. The share of the fund that’s staked can change over time too. The 21 day wait still applies, so how the fund manages its buffer matters if a lot of people redeem at once. Only authorized participants create or redeem shares with the fund. When regular investors trade shares with each other, the INJ underneath doesn’t move. There’s also slashing. A validator that misbehaves or stays offline too long can lose part of its stake, and the people delegating to it share that loss. Filings say the penalty was zero under the parameters seen in mid-September 2026, but that doesn’t mean it can’t happen later. ETF vs holding INJ yourself: With your own INJ, you control the keys, pick validators, vote on governance and use the tokens across Injective apps. You also deal with the 21 days yourself. With INJC, you own shares of a trust, not tokens. You can’t vote, can’t use the INJ in apps and can’t swap shares for INJ. You exit by selling shares during market hours. Fees are different too. Direct staking has network fees, exchange fees and validator commissions. The ETF has a daily sponsor fee as a percentage of assets, staking fees taken from the rewards, and your brokerage costs. This isn’t a brand new idea. 21Shares already has an ETP in Europe, AINJ, that stakes its INJ and reinvests the rewards. INJC would bring something similar to a US brokerage account, in the same trust format as spot bitcoin and ether ETFs. But it isn’t live. It still needs SEC effectiveness and an exchange listing, and it isn’t trading. DYOR 🤝 $INJ