- Grayscale is expanding beyond Bitcoin and Ethereum by filing for Cardano and Polkadot ETFs, showing strong demand for altcoin investments.
- The new ETFs will directly hold ADA and DOT with Coinbase Custody ensuring security, offering investors safer exposure to altcoins.
- SEC delays highlight uneven treatment of ETF filings as meme coin products move faster while major altcoin proposals face longer reviews.
Grayscale has intensified the race for altcoin ETFs after filing new registration statements with the SEC for Cardano and Polkadot. The $60 billion asset manager is moving quickly to expand beyond Bitcoin and Ethereum. Hence, this step highlights its strategic focus on regulated investment access to diverse crypto assets.
The company submitted S-1 forms for both products. Besides, this move follows its earlier 19b-4 submissions, creating a dual path toward regulatory clearance. The Cardano ETF, listed under ticker GADA on NYSE Arca, will directly hold ADA. Consequently, it will track the CoinDesk Cardano Price Index without using leverage or derivatives. Coinbase Custody will secure the assets, ensuring full coverage.
Cardano and Polkadot Structures
Moreover, the Polkadot ETF mirrors the Cardano design. It plans to trade on Nasdaq under ticker DOT while tracking the CoinDesk Polkadot Reference Rate. Coinbase Custody will again act as custodian, maintaining consistency across both filings. Grayscale aims to keep all altcoin ETFs passively managed, offering spot-backed exposure without synthetic instruments.
Additionally, the applications reflect growing demand for altcoin-focused investment tools. Investors increasingly seek regulated ways to diversify beyond flagship tokens. However, approval remains uncertain. The SEC has yet to clarify its timeline for these altcoin ETF proposals. Consequently, regulatory lag frustrates issuers and people in the market.
The Bigger Picture
Furthermore, Grayscale’s effort comes as more issuers join the competition. VanEck, Bitwise, and 21Shares have also submitted altcoin ETF proposals. Besides, uneven prioritization within the SEC raises questions about market responsiveness.
Some meme coin filings move faster, while larger altcoin projects face delays. Hence, industry observers continue to question regulatory consistency.
Michael Saylor recently stressed the adaptability of crypto protocols, saying, “The answer is: Bitcoin network hardware upgrade, Bitcoin network software upgrade.” His remarks underline that innovation often stays ahead of perceived threats, including those from regulatory lag or quantum risks.
Grayscale’s aggressive ETF expansion shows how altcoin adoption is reaching mainstream investment demand. The filings underscore a growing interest for diversified crypto exposure.
