MeV gamma-ray astronomy in an energy range of hundreds of keV to tens of MeV is a unique window for observing nucleosynthesis, however this field has not opened up until recently because of imaging difficulties. Thus, we are developing an electron-tracking Compton camera (ETCC), which consists of a gaseous electron tracker and pixel scintillator arrays, as a next generation MeV gamma-ray telescope. Because the ETCC detects all parameters after Compton scattering, we can determine the momentum of incident gamma-rays with powerful background rejection. This ETCC has confirmed low-noise and high-sensitivity observations at high altitude through Sub-MeV gamma-ray Imaging Loaded-on-balloon Experiment I (SMILE-I) in 2006 and SMILE-2+ in 2018. Therefore, we are planning scientific observations using an ETCC with an effective area of ∼10 cm2 for 0.3 MeV, a spatial resolution of ≤10 degrees for 0.5 MeV, and a field of view of 3 sr as the next step (SMILE-3). In this paper, we present the design of the SMILE-3 ETCC and its expected observations.