Grayscale quietly drops Cardano, Polkadot and Hedera ETF plans
Reported by CoinDesk · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Grayscale Investments has withdrawn its proposed exchange-traded fund (ETF) registration statements for products tied to Cardano (ADA), Polkadot (DOT), and Hedera (HBAR) from the U.S. Securities and Exchange Commission (SEC). These withdrawals, filed within minutes on a Friday, were initiated by Grayscale, not rejected by the SEC. Grayscale stated it no longer intends to proceed with distributing these ETF shares and no securities were issued or sold under these registrations.
Why it matters
This development reduces the number of single-token ETFs Grayscale has in the pipeline, potentially reflecting the company’s reassessment of its product offerings in light of market conditions. Given that none of these ETFs went effective and no securities were sold, this could impact how investors anticipate Grayscale’s future product launches and the availability of passive investment vehicles tracking these specific cryptocurrencies.
Key context
Grayscale initially filed these ETF proposals in early 2025, with Cardano and Polkadot filings starting in February and registrations affected in late August for ADA and DOT and in early September for HBAR. The proposed ETFs were intended as passive funds tracking their respective tokens' values after fees and expenses. All three tokens have experienced significant price declines year-to-date and since the initial filings, with ADA, DOT, and HBAR all losing more than 35% and up to 80% since late February 2025.
Key numbers and entities
Grayscale Investments is the asset manager involved. The tokens affected are Cardano (ADA), Polkadot (DOT), and Hedera (HBAR). Year-to-date losses reported are ADA down over 41%, DOT down 54%, and HBAR down 35%, with steeper declines since the filings (ADA down 70%, DOT down 80%, HBAR down over 70%). Grayscale currently has 17 ETF products listed on its website, including Bitcoin Mini Trust ETF and Ethereum Staking Mini ETF.
What remains unclear
Grayscale did not provide any reasons for withdrawing the ETF registrations nor indicate whether it plans to submit new registration statements. The company did not respond to requests for comment at the time of reporting. The source does not flag any open questions beyond the absence of an explanation from Grayscale.