Confused on which visa application to apply for my daughter

Hi all, please I need some clarification on the right visa application I need to apply for my daughter.

My husband has a British Citizen via 10years Long residence
I currently have ILR via the 10years Long residence.
My 7 year old daughter born in Canada currently has a dependant visa of 2.5years and will expires on the 1st of march 2018 and is now due for renewal.

My question is do I apply for ILR for my daughter or British Citizen or do I have to apply for another 2.5 years dependant visa?

Your response would be much appreciated.

Kind regards.

Child may apply for ILR. They expect child to have ILR prior to registration.

But registration may be possible without ILR.