Grayscale has entered the ETF preparation phase for two new altcoins ahead of its SEC application and has completed official registration processes in Delaware.
Grayscale, one of the leading crypto asset managers in the U.S., has officially registered in Delaware for two new assets named Cardano (ADA) Trust ETF and Hedera Trust (HBAR) ETF. Previously, similar registrations had been precursors to S-1 applications to be submitted to the U.S. Securities and Exchange Commission (SEC). This move takes the company's altcoin-based ETF efforts to a new dimension.
Earlier this year, the SEC had officially evaluated NYSE Arca's spot Cardano ETF application and Nasdaq's Hedera ETF application. These first altcoin ETF registrations on Grayscale's Delaware portal come in addition to the company's existing investment trusts for crypto assets such as Dogecoin, Filecoin, Avalanche, and Bittensor.
On the same day, Grayscale also launched two new investment trusts that offer investment opportunities in tokens belonging to the DeepBook (DEPP) and Walrus (WAL) protocols within the Sui blockchain ecosystem. U.S. fund managers are placing greater emphasis on altcoin-based fund initiatives following the success of Bitcoin and Ethereum ETFs.
Positive signals from Washington also support this process. The SEC's approval of the “in-kind redemption” model for spot Bitcoin and Ethereum ETFs and its ongoing work with the CFTC aim to provide a clear regulatory framework for the digital asset market. This project seeks to eliminate uncertainties regarding which cryptocurrencies will be considered securities.