Canary Capital just launched a crypto trust—And it could reshape blockchain investing

Canary Capital Group LLC, a digital asset-focused investment firm, has announced the launch of the Canary AXL Trust, a private investment vehicle designed to provide institutional crypto investment exposure to AXL, the native cryptocurrency of the Axelar Network. With this launch, Canary Capital is solidifying its position as a leader in institutional-grade digital asset investment, further expanding its portfolio beyond traditional cryptocurrency options like Bitcoin and Ethereum.

The Canary AXL Trust aims to provide accredited investors with a secure and structured investment vehicle, allowing them to gain direct exposure to Axelar’s blockchain interoperability solutions. The trust comes at a time when blockchain technology is evolving to facilitate cross-chain transactions, enabling different blockchain ecosystems to communicate and exchange assets seamlessly.

According to Steven McClurg, Chief Executive Officer at Canary Capital, Axelar’s advancements in blockchain interoperability make AXL a compelling asset for institutional investors. He stated that as the demand for institutional crypto investment continues to rise, Canary Capital remains committed to delivering secure and structured investment solutions that align with the future of blockchain adoption.

What Role Does Axelar Network Play in Blockchain Interoperability?

The Axelar Network has positioned itself as a key player in Web3 infrastructure, enabling interoperability between different blockchains. In recent years, the network has seen significant growth, further validating its role as a foundational layer for cross-chain transactions.

In 2024, Axelar reported a 71% increase in active users, with cumulative transaction volume reaching $10 billion. The network has also attracted major institutional partnerships, including collaborations with Apollo Global Management, Deutsche Bank, and J.P. Morgan. In early 2025, Axelar surpassed $1 billion in total value locked (TVL), making it the 11th largest blockchain network by TVL.

This rapid growth underscores Axelar’s expanding role in bridging traditional finance with decentralized finance (DeFi). The network is expected to continue its expansion by integrating with XRP Ledger, Hedera, Stellar, TON, Sui, Solana, and Bitcoin, further strengthening its blockchain interoperability solutions.

Josh Olszewicz, Portfolio Manager at Canary Capital, noted that Axelar is becoming an essential infrastructure layer for the blockchain ecosystem, facilitating seamless cross-chain transactions. He emphasized that AXL is positioned as a high-potential digital asset, attracting investors seeking exposure to next-generation blockchain technology.

Why Is Institutional Crypto Investment Expanding Beyond Bitcoin and Ethereum?

The launch of the Canary AXL Trust follows the success of the Canary HBAR Trust, which was introduced as the first widely available institutional investment vehicle for HBAR in the United States. The success of these offerings reflects the increasing demand for diversified institutional crypto investment opportunities.

While Bitcoin and Ethereum remain the dominant cryptocurrencies in the market, institutional investors are actively exploring alternative digital assets with high-growth potential. Axelar’s interoperability solutions provide a new avenue for institutional capital, allowing investors to participate in the expanding blockchain infrastructure landscape.

McClurg highlighted that the demand for structured crypto investment vehicles has surged following the launch of spot Bitcoin ETFs. However, he pointed out that institutional investors are looking beyond traditional assets and are interested in innovative blockchain technologies that offer long-term scalability.

Canary Capital has positioned itself at the forefront of this evolution, offering both actively managed and passive investment solutions to meet the growing demand for sophisticated crypto investment strategies. The firm is focused on bridging the gap between traditional finance and blockchain innovation, ensuring that institutional investors have access to secure and regulated digital asset investments.

How Does the Canary AXL Trust Ensure Institutional-Grade Security?

To ensure secure asset custody, Canary Capital has partnered with Coinbase as the custodian for the Canary AXL Trust. This partnership reinforces Canary’s commitment to providing institutional investors with secure and compliant crypto investment solutions.

Coinbase is recognized as a leading digital asset custodian, offering industry-standard security measures to protect investors’ holdings. The collaboration aligns with Canary’s broader strategy of implementing rigorous risk management practices to enhance the security and stability of its institutional crypto investment offerings.

In addition to the Canary AXL Trust, Canary Capital continues to expand its investment portfolio, offering specialized hedge fund strategies tailored to institutional clients. These strategies include a crypto and fixed-income barbell strategy, designed to balance high-growth opportunities with risk-managed stability.

What Is Canary Capital’s Vision for Institutional Crypto Investment?

Canary Capital was founded by former Valkyrie Funds co-founder Steven McClurg with the mission of delivering innovative digital asset investment solutions for institutional clients. Since its inception, the firm has focused on providing actively managed and passive private placement strategies that cater to the needs of sophisticated investors.

The introduction of the Canary HBAR Trust in 2024 marked the beginning of Canary’s institutional crypto investment expansion. The firm has since continued to launch structured investment products, reinforcing its position as a leader in blockchain-focused investment strategies.

McClurg stated that as crypto adoption accelerates, Canary Capital remains dedicated to bridging traditional finance with blockchain innovation. He emphasized that the firm’s investment strategies are designed to provide long-term exposure to high-growth digital assets, ensuring that institutional investors can participate in the next phase of blockchain evolution.

The Canary AXL Trust is available exclusively to accredited investors seeking direct exposure to AXL and blockchain interoperability solutions. Canary Capital’s continued expansion into institutional crypto investment reflects a broader industry trend, where institutional capital is increasingly flowing into blockchain-based assets.