Polkadot ETF Development by Grayscale

Grayscale Investments, a company specializing in managing crypto assets, is now pursuing the creation of an ETF that will invest in Polkadot's DOT token, in addition to its plans for XRP and Cardano exchange-traded funds. The Nasdaq has submitted a formal request (Form 19b-4) to the U.S. Securities and Exchange Commission (SEC) to list and trade shares of the Grayscale Polkadot Trust. This initiates a review period of 45 days during which the SEC can either approve or reject the application or extend the review duration.

Recently, Grayscale, which already provides ETFs for bitcoin and ether, has also sought to convert its XRP Trust into an ETF and has filed to introduce a spot Cardano ETF. These developments come as the SEC shifts towards a more accommodating stance towards the digital asset sector, having recently closed several investigations related to cryptocurrencies, including those involving Robinhood and the NFT marketplace OpenSea.

This marks the first time Grayscale has sought to offer a standalone product for Polkadot. The filing puts it in line with crypto asset manager 21Shares, which also filed to list a spot Polkadot ETF with the SEC last month. As of now, Polkadot’s DOT is trading at $4.4, having decreased by 6.7% in value over the last 24 hours amid a broader downturn in the cryptocurrency market.