Grayscale Investments, a crypto asset-management firm, has formally submitted a submitting to the US Securities and Alternate Fee (SEC) to launch a Polkadot exchange-traded fund (ETF) on Nasdaq.
The proposed ETF goals to offer buyers with direct publicity to Polkadot’s native token, DOT, by monitoring its worth efficiency.
Key Gamers in Grayscale’s Polkadot ETF Proposal
In response to the submitting dated Feb. 25, Grayscale intends to listing shares of the Grayscale Polkadot Belief below Nasdaq Rule 5711(d), which pertains to Commodity-Primarily based Belief Shares.
Grayscale simply filed for a Polkadot ETF pic.twitter.com/bo2UVjAW2U
— Eric Balchunas (@EricBalchunas) February 25, 2025
Grayscale Working LLC and Grayscale Investments Sponsors LLC, each subsidiaries of Digital Forex Group, Inc., are named because the ETF’s sponsors within the utility. In the meantime, CSC Delaware Belief Firm will function the trustee, and Coinbase Custody Belief Firm, LLC will act because the custodian.
Moreover, BNY Mellon Asset Servicing is about to handle administrative and switch duties, whereas Foreside Fund Providers, LLC will oversee distribution and advertising efforts. CoinDesk Indices, Inc. shall be answerable for offering index providers to the belief.
The submitting begins a 45-day evaluation interval for the regulator to acknowledge the submitting. The SEC can approve, or disapprove the appliance or lengthen the evaluation interval.
Rising Curiosity in Polkadot ETFs
This marks the second utility for a Polkadot ETF in 2025.
On Jan. 31, asset supervisor 21Shares additionally submitted a request to the SEC to launch a spot Polkadot ETF.
It comes 4 years after 21Shares took a step ahead by introducing an analogous funding product in Switzerland. In February 2021, the asset supervisor launched the world’s first Polkadot ETP on the Swiss SIX alternate.
Regardless of the growing curiosity in crypto ETFs, some business analysts stay cautious in regards to the potential success of a Polkadot-focused fund. Bloomberg Intelligence analyst James Seyffart identified in his Feb. 1 X submit that the submitting has been met with appreciable skepticism:
“However the market will determine the place worth lies and if there’s worth in launching such a product. If nobody places cash right into a Polkadot ETF – it should shut.”
idk who wants to listen to this however the market will determine the place worth lies and if there's worth in launching such a product. If nobody places cash right into a Polkadot ETF — it should shut. Persons are free to launch no matter ETFs are deemed to be allowed by the SEC
— James Seyffart (@JSeyff) January 31, 2025
Altcoin ETFs on the Rise
Asset managers are usually not simply Polkadot.
A number of corporations have utilized to launch ETFs for different altcoins, together with Solana (SOL), XRP (XRP), Cardano (ADA) and Litecoin (LTC).
On Jan. 31, Grayscale itself, which already gives Bitcoin (BTC) and Ether (ETH) ETFs, filed with the SEC to transform its XRP Belief into an ETF, and on Feb. 10 filed to listing a spot Cardano ETF.
On Feb. 21, Franklin Templeton filed for a spot Solana ETF, aiming to convey SOL publicity to conventional buyers.
CoinShares additionally submitted functions for XRP and Litecoin ETFs, with the SEC acknowledging them the identical month. After including the CoinShares Litecoin ETF and CoinShares XRP ETF to the Federal Register on Feb. 19, the SEC opened a 21-day remark interval for public suggestions on the filings.
The company has additionally already accepted spot XRP ETFs and different functions from a number of corporations, together with 21Shares, Bitwise, and Grayscale.
On Jan. 29, Bitwise additionally submitted an S-1 registration utility to the SEC to launch a spot Dogecoin (DOGE) ETF.
Bloomberg analysts anticipate a few of these altcoin ETFs to be accepted by 2025. Eric Balchunas and James Seyffart predict a 90% probability that the SEC will approve Litecoin ETFs.
XRP ETFs are additionally in line for regulatory approval. Balchunas and Seyffart estimate a 65% probability that the SEC will greenlight spot XRP ETFs.
Our official alt coin ETF approval odds are out. Litecoin leads w 90% probability, then Doge, adopted by Solana and XRP. We’re solely doing for 33 Act $IBIT-esque filings. However def poss to see futures or Cayman-subsidiary kind 40 Act stuff get by as properly. https://t.co/JSaNnifjbu
— Eric Balchunas (@EricBalchunas) February 10, 2025
The submit Grayscale Applies to SEC for Polkadot ETF on Nasdaq appeared first on Cryptonews.