Grayscale Ditches Plans for Cardano, Hedera, and Polkadot ETFs

Grayscale Investment, which manages $45 billion in assets under management (AUM), has withdrawn its registration filings for proposed exchange-traded funds (ETFs) tied to Cardano (ADA), Hedera (HBAR), and Polkadot (DOT). This move comes just before the completion of six months of trading on CME's regulated ADA futures on August 9.

The company submitted Form RW requests on Aug. 7, withdrawing the S-1 registration statements for its Cardano Trust ETF, Hedera Trust ETF, and Polkadot Trust ETF. The related exchange filings were withdrawn earlier in September and November last year, leaving Grayscale with active only its SEC filings.

The decision appears to be a strategic withdrawal rather than an SEC rejection, as the company chose to withdraw the applications before reaching a formal decision. Grayscale used standard Form RW language, stating it did not plan to continue with the planned share distribution and that no shares had been issued or sold. The filings also noted that the registrations had not become effective.