Grayscale Files for Cardano ETF on NYSE

Grayscale Investments has filed an application to launch a Cardano (ADA) exchange-traded fund (ETF) on the New York Stock Exchange (NYSE), according to a document posted on the NYSE website.

The 19b-4 form for a proposed rule change was submitted on Monday by NYSE Arca on behalf of Grayscale, signaling a potential new addition to the firm’s growing crypto ETF lineup.

Cardano Price Surges 12% on ETF News

Following the news, Cardano (ADA) surged 12% to $0.748, making it the largest gainer among the top 10 cryptocurrencies by market cap, according to CoinGecko.

If approved by the U.S. Securities and Exchange Commission (SEC), the Grayscale Cardano ETF would be the first exchange-traded product for the blockchain, providing institutional investors with direct exposure to ADA.

What Grayscale’s Cardano ETF Filing Says

According to the filing, the Cardano ETF falls under NYSE Arca Rule 8.201-E, which permits the listing of Commodity-Based Trust Shares.

Grayscale’s application states that the ETF is designed to promote fair trading practices and provide investor protection, noting:

“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.”

The Delaware Trust Company is listed as the trustee for the ETF, while Coinbase Custody Trust Company will hold ADA in cold storage.

Grayscale Expands Its Crypto ETF Lineup

Grayscale currently manages over 20 crypto investment products, including trusts for:

Bitcoin (BTC)
Ethereum (ETH)
Avalanche (AVAX)
Solana (SOL)
Dogecoin (DOGE)

The firm’s Bitcoin Trust (GBTC), launched in 2013, was converted into a spot Bitcoin ETF last year after the SEC approved Bitcoin and Ethereum ETFs in the U.S.

Will Other Crypto ETFs Follow?

Grayscale’s Cardano ETF filing has renewed optimism that other altcoin ETFs, such as Dogecoin, XRP, and Solana, could soon receive regulatory approval.

The firm has already filed to convert existing Solana, XRP, and Dogecoin trusts into spot ETFs, pending SEC review.

With growing institutional demand for regulated crypto investment vehicles, the approval of a Cardano ETF could pave the way for more altcoin ETFs in 2024 and beyond.

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Bullish Times is a marketing agency committed to providing corporate-grade press coverage and shall not be liable for any loss or damage arising from reliance on this information. Readers should perform their own research and due diligence before engaging in any financial activities.