NYSE Arca Files to Launch Spot Cardano ETF in Partnership with Grayscale
In a significant development, NYSE Arca, a subsidiary of the NYSE Group, has filed a proposal with the U.S. Securities and Exchange Commission (SEC) to launch a spot Cardano exchange-traded fund (ETF) on behalf of crypto asset manager Grayscale.
The proposed rule change, submitted on Feb. 10, seeks approval for listing and trading shares of the Grayscale Cardano Trust, marking Grayscale’s first standalone investment product for Cardano (ADA).
If approved, the ETF would offer investors regulated exposure to Cardano, one of the leading blockchain platforms known for its smart contract capabilities and decentralized applications.
According to the filing, Coinbase Custody Trust Company has been designated as the custodian of the fund’s assets, ensuring secure storage of the digital holdings. Additionally, BNY Mellon Asset Servicing is set to act as the administrator, further solidifying institutional support for the proposed ETF.
NYSE Arca emphasized that approving the rule change would “facilitate the listing and trading of an additional type of exchange-traded product, and the first such product based on ADA, which will enhance competition among market participants, to the benefit of investors and the marketplace.”
Grayscale’s push for a Cardano ETF comes amid a flurry of similar filings and amendments from the asset manager. On Feb. 6, the SEC acknowledged Grayscale’s amended filing to convert its existing Solana Trust into a spot Solana ETF, an effort that had faced previous regulatory resistance. Bloomberg ETF analyst James Seyffart noted that this acknowledgment was particularly noteworthy given the SEC’s past reluctance to approve similar requests.
Just a week prior, on Jan. 30, NYSE Arca submitted a separate filing to convert Grayscale’s XRP Trust into a spot ETF. These moves reflect a broader trend of asset managers ramping up their efforts to secure regulatory approval for cryptocurrency ETFs in the U.S.
Grayscale is not alone in the race to bring more crypto investment products to the market. On Feb. 6, the Cboe BZX Exchange filed 19b-4 forms on behalf of Canary Capital, WisdomTree, 21Shares, and Bitwise to list the first spot XRP ETFs in the U.S. Similarly, 21Shares, Bitwise, VanEck, and Canary Capital are competing to launch spot Solana ETFs, following their refiled applications on Jan. 28.
The surge in crypto ETF filings follows an evolving regulatory landscape, with asset managers seeking to capitalize on growing institutional and retail interest in digital assets. As the SEC reviews these applications, the market awaits further developments that could reshape access to cryptocurrency investments.
While the fate of the Grayscale Cardano ETF remains uncertain, the increasing number of filings signals growing momentum for cryptocurrency ETFs in traditional financial markets. If approved, Grayscale’s latest product could offer investors an accessible, regulated avenue to gain exposure to Cardano, further bridging the gap between digital assets and mainstream finance.
