Polkadot Joins ETF Race as Nasdaq Seeks SEC Approval

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Nasdaq filed to checklist Grayscale Polkadot (DOT) exchange-traded fund (ETF) on Monday. The transfer aligns with Grayscale’s technique to transition its crypto trusts into ETFs over time.

Nasdaq Recordsdata to Listing Grayscale’s Polkadot ETF

Nasdaq has applied to the U.S. Securities and Trade Fee (SEC) to checklist and commerce Grayscale’s Polkadot (DOT) spot ETF on Monday, February 24, highlighting the growing demand for regulated cryptocurrency funding choices.

Based on the submitting, Nasdaq is requesting approval to checklist and commerce shares of the Grayscale Polkadot Belief (DOT) as a commodity-based funding. The belief holds DOT cash, permitting traders to achieve publicity to Polkadot with out instantly proudly owning the cryptocurrency.

The fund is designed to comply with the real-time worth of Polkadot’s native token, DOT, and can commerce underneath the ticker DOT.

Polkadot, created by Ethereum co-founder Gavin Wood, is a number one blockchain designed to attach completely different networks, enhancing interoperability, scalability, and safety within the multi-chain ecosystem.

Crypto ETF Momentum Grows

Curiosity in crypto ETFs is rising as traders search regulated methods to achieve publicity to digital belongings.

Other than the newest Polakdot ETF submitting, Grayscale is in search of approval to launch ETFs for different cryptocurrencies, together with XRP, Solana (SOL), Dogecoin (DOGE), Cardano (ADA), and Litecoin (LTC).

Different corporations have additionally utilized for Polkadot ETFs. In January, 21Shares filed with the SEC to checklist its 21Shares Polkadot Belief on the Cboe BZX Trade, with Coinbase Custody managing DOT holdings.

In 2024, the cryptocurrency market noticed main development, pushed by the approval of a number of crypto ETFs within the U.S. Bitcoin and Ethereum ETFs started buying and selling, opening the door for institutional investments, whereas discussions for Solana and different crypto ETFs gained momentum.

Analysts hyperlink the surge in ETF filings to approaching modifications in SEC management and a extra favorable stance towards cryptocurrency regulation.

Polkadot DOT Worth Did not Rally

Regardless of Nasdaq’s submitting announcement, which is usually seen as a constructive market sign, Polkadot’s native DOT token didn’t present a big worth enhance.

Quite the opposite, DOT adopted the broader crypto market’s downward trajectory. Over the previous 24 hours, DOT’s worth has dropped almost 7.5% to a low of $4.19, a stage final seen in early February.

Polkadot’s worth didn’t surge after the ETF submitting announcement. Supply: CoinMarketCap

Since final November’s bull rally, when the DOT token reached $10.73, Polkadot’s token has misplaced almost 60% of its worth.

On the Flipside

In October 2024, Polkadot applied a big technical replace, Agile Coretime, making Polkadot extra environment friendly, scalable, and cost-effective for builders and traders.