Grayscale Investments, one of the largest fund management companies in the cryptocurrency world, has taken two significant steps that could usher in a new era in the cryptocurrency market. The company has officially registered two new spot ETFs based on Cardano (#ADA ) and Hedera ($HBAR ) in Delaware. This development is considered a strategic signal that could increase institutional interest for both ADA and #hbar investors.
What Does the Delaware Registration Mean?
Delaware is one of the most frequently chosen registration jurisdictions for fund institutions and investment vehicles in the US. Grayscale's registration is considered a legal preparation process before the official ETF application to the SEC (U.S. Securities and Exchange Commission).
An agreement has been reached with NYSE Arca for the Cardano #etf and with Nasdaq for the Hedera ETF.
The SEC has previously accepted the 19b-4 forms submitted by these two exchanges to list the respective ETFs. Delaware registration stands out as one of the final steps strengthening the legal framework of this process.
Grayscale's ETF Strategy
Grayscale already has a strong market position with its Bitcoin and Ethereum spot ETFs. However, the company's focus on alternative Layer-1 projects like ADA and HBAR suggests that institutional investor interest in the altcoin market may be increasing.
Grayscale, which previously registered in Delaware only for BTC and ETH, has taken this step for the first time for two altcoins.
The company's move aims to test the demand for altcoin-based funds by diversifying its ETF portfolio.
Potential Impact for Cardano ($ADA ) and Hedera (HBAR)
The approval of these ETFs could mean a significant increase in liquidity for ADA and HBAR. The ability of institutional investors to invest in these assets without directly managing a crypto wallet has the potential to increase price stability and trading volume.
Cardano (ADA): An alternative network to Ethereum with its academic-based development process and smart contract capabilities.
Hedera (HBAR): A leading enterprise blockchain solution with its fast, low-cost, and energy-efficient architecture.
Both projects stand out with their technological infrastructure suitable for enterprise integration.
Conclusion and Expectations
Grayscale's Delaware registration signals strong readiness for official ETF approval. If the SEC approves, the introduction of ADA and HBAR to the institutional investment market could trigger a significant price surge.
For investors, this development indicates both the progress of the regulatory process and the potential expansion of the altcoin ETF trend. The coming weeks, along with news from the SEC, will be critical for ADA and HBAR.
