Cardano ETF Deadline This Week – Will SEC Approve?

SEC to Decide on Grayscale's Cardano ETF This Week

The crypto community eagerly awaits the Securities and Exchange Commission's (SEC) decision on Grayscale Investments' application for a Cardano (ADA) exchange-traded fund (ETF). The decision is expected to be announced this week, as the deadline for the SEC's ruling is set for May 29.

Grayscale, a leading digital asset management firm, filed for the ADA ETF in February, aiming to provide investors with a regulated way to gain exposure to the Cardano blockchain. This move follows Grayscale's applications for ETFs powered by Solana and XRP as well.

According to the SEC document, the decision on the ADA ETF will be made on May 29, just three days from now. The approval, denial, or delay of the ETF could have significant implications for the Cardano ecosystem and the broader crypto market.

Interestingly, a Swedish wealth management company, Virtune, had already launched a Staked Cardano ETP (VIRADAE) on Nasdaq Helsinki in early February, before Grayscale's ADA ETF application. The Virtune product offered 1:1 physical ADA support, cold storage security via Coinbase, and a 2% yearly staking reward.

The prediction platform Polymarket suggests an optimistic outlook for the Grayscale ADA ETF approval, with the chances of approval increasing from 55% on May 15 to 71% as of now. This reflects growing investor confidence in the SEC's potential green light for the ETF.

Alongside the Grayscale ADA ETF, the crypto industry has seen the launch of the first XRP futures ETF by Volatility Shares on Nasdaq, as well as the Tectrium 2x Long Daily XRP ETF. Ripple CEO Brad Garlinghouse has expressed excitement about the growing institutionalization of the crypto space through the emergence of these ETF products.