Grayscale takes a step toward launching a Cardano spot ETF as regulatory sentiment shifts in favor of crypto investment products.
Cardano ETF Filing Submitted
NYSE Arca, a subsidiary of the New York Stock Exchange, has filed a 19b-4 form on behalf of Grayscale to propose a spot Cardano (ADA) ETF. If approved, the Grayscale Cardano Trust would be the first ETF based on ADA. The custodian is Coinbase Custody Trust Company, and the administrator is BNY Mellon Asset Servicing.
SEC Approval Process Underway
The 19b-4 form is a crucial step in launching a crypto ETF, requiring SEC acknowledgment before being published in the Federal Register for review.
Crypto ETFs Gaining Traction
The proposal comes amid a wave of crypto ETF applications, including funds tied to Dogecoin, XRP, Litecoin, and Solana. With a potentially friendlier SEC under a new administration, analysts speculate higher chances of approval.
Broader Regulatory Developments
The SEC is also advancing discussions on in-kind redemptions for spot Bitcoin and Ethereum ETFs, a key issue previously debated during the approval of spot Bitcoin ETFs in 2024.
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