Grayscale Seeks Cardano ETF Approval After Filing for Solana, XRP and Dogecoin Funds

Grayscale Investments aims to launch a Cardano exchange-traded fund on the New York Stock Exchange, according to a document posted to the NYSE website. NYSE Arca submitted the 19b-4 form for a proposed rule change Monday on behalf of the issuer.

Cardano (ADA), the ninth-largest cryptocurrency by market capitalization, has jumped 12% on the day to $0.748 on news of the Cardano ETF filing, according to CoinGecko. It's the largest gainer over the last day among the top 10 coins by market cap.

If approved, Grayscale's Cardano ETF would be the first exchange-traded product for the blockchain, and would join Grayscale’s lineup of crypto ETFs, which includes the Grayscale Bitcoin Trust ETF, Bitcoin Mini Trust ETF, Ethereum Trust ETF, and Ethereum Mini ETF.

"The proposed rule change is designed to promote just and equitable principles of trade and to protect investors and the public interest in that there is a considerable amount of ADA price and market information available on public websites and through professional and subscription services," Grayscale said in the Cardano ETF filing.

Grayscale currently offers over 20 crypto-related investment products, including trusts for Avalanche, Solana, and Dogecoin. The firm launched the Bitcoin Trust in 2013, which was converted into an ETF last year.

Only Bitcoin and Ethereum spot ETFs have been approved for trading so far in the United States, with the SEC giving both the green light last year.

According to the filing, the proposed rule change for the Cardano ETF falls under NYSE Arca Rule 8.201-E, which allows the listing of "Commodity-Based Trust Shares."

The Delaware Trust Company serves as the trustee of the Cardano ETF, while the Coinbase Custody Trust Company holds the Trust’s ADA in cold storage.

Grayscale did not immediately respond to requests for comments by Decrypt.

As investors wait to see if the Cardano ETF is approved, the crypto faithful are optimistic that other ETFs—including Dogecoin, XRP, and Solana ETFs—will be approved in the coming months.

Grayscale itself has filed to convert other existing trusts into spot ETFs, including trusts for Solana, XRP, and Dogecoin.

Edited by Andrew Hayward