US Securities and Exchange Commission has deferred a decision about whether or not to approve an exchange-traded funds (ETFs) that hold Polkadot native tokens, according to regulatory filings.
According In response to a filing on April 24, the regulator extended the deadline for its final decision until June 11. This is nearly four months later than the Nasdaq sought permission Grayscale Polkadot Trust to be listed by 24th February.
Grayscale’s ETF application adds to the list of roughly 70 proposed ETFs Bloomberg Intelligence reports that funds with altcoins and memecoins as well derivatives related to crypto are awaiting SEC authorization.
The asset managers who are promoting ETFs do so for a variety of reasons. “[e]verything from XRP, Litecoin and Solana to Penguins, Doge and 2x Melania and everything in between,” Bloomberg Analyst Eric Balchunas said In a 21 April post to the X Platform. 21Shares Asset Managers also awaits permission to list their own Polkadot ETF.
Polkadot was launched as a layer-1 Blockchain network in 2020. Its native token, DOT (DOTAs of April 24,, the market cap of ) was approximately $6 billion. according CoinMarketCap is a great place to start.
Related: Institutions break up with Ethereum but keep ETH on the hook
Altcoin ETF pipeline
Grayscale, a multi-asset manager seeking approval from the US Securities and Exchange Commission to list Altcoin ETFs is one such asset manager. It is behind several cryptocurrency funds including Bitcoin Spot (BTC) EtherETH) ETFs.
A request has been made by the asset manager to allow ETFs to be launched that hold tokens, such as Solana.SOL), Litecoin (LTCThe XRP currency (XRPDogecoinDOGECardanoADA).
More than 80% institutional investors have said they will list funds in the pipeline. boost allocations to crypto in 2025According to a report released by Coinbase in March, EY-Parthenon.
Analysts caution however that there is likely to be a much smaller demand for altcoin funds than core cryptocurrency such as Bitcoin and Ether.
“Having your coin get ETF-ized is like being in a band and getting your songs added to all the music streaming services,” Balchunas said.
“Doesn’t guarantee listens but it puts your music where the vast majority of the listeners are.”
Magazine: Altcoin season to hit in Q2? Mantra’s plan to win trust: Hodler’s Digest, April 13 – 19
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Source: cointelegraph.com
