2025-02-11
NYSE Arca, a company linked to the New
York Stock Exchange filed Form 19b-4 to asked U.S. SEC for permission to create
an investment fund focused on Cardano (ADA), a popular cryptocurrency.
This request was made on behalf of Grayscale,
a major crypto investment firm.
If approved, this new fund is called a spot
Cardano exchange-traded fund (ETF), would allow investors to buy and sell
shares representing Cardano without having to own the cryptocurrency directly.
The assets would be stored by Coinbase
Custody, while BNY Mellon would manage the fund.
This filing is part of a growing trend,
as many companies are trying to launch crypto-based ETFs.
In recent weeks, firms have proposed
ETFs for other digital assets, such as Dogecoin, XRP, Litecoin, and Solana. The
U.S. Securities and Exchange Commission (SEC) is expected to take a more
supportive stance on these products under new leadership.
For the ETF to be approved, the SEC
must go through a review process.
If accepted, this would be the first-ever
Cardano ETF, making it easier for traditional investors to gain exposure to
ADA.
Cardano is the 9th largest
crypto by market cap.
