- Grayscale’s Hedera ETF to track HBAR price on Nasdaq exchange.
- Hedera governance involves top companies like Google and IBM.
- SEC approval process for crypto ETFs gains momentum with filings.
Nasdaq has submitted a key 19b-4 filing to the U.S. Securities and Exchange Commission (SEC) to list Grayscale’s spot Hedera exchange-traded fund (ETF). This filing is part of a two-step process for a crypto ETF proposal. Once acknowledged by the SEC, the filing will be published in the Federal Register, to start the approval process.
Grayscale Files for Hedera ETF
Grayscale, a major player in the crypto investment space, aims to expand its product offerings with the Hedera ETF. The company’s goal is to create an ETF that tracks the price of HBAR and provides investors with exposure to the asset without holding it directly. If approved, the Hedera ETF will trade on the Nasdaq exchange, which will add another product to Grayscale’s portfolio.
The 19b-4 filing is a crucial step for any crypto ETF proposal as it marks the beginning of the approval process with the SEC. Although Grayscale is pushing forward with its Hedera ETF, it is not the first company to file for an HBAR ETF. This positions the Hedera ETF as a competitive product in the growing market.
This filing follows a similar move from Canary Capital, which submitted a 19b-4 for its spot HBAR ETF the previous week. Bloomberg Senior ETF Analyst Eric Balchunas has suggested that Hedera and Litecoin are leading the race of altcoins for ETF approval. This indicates significant progress in the SEC’s consideration of alternative crypto assets for ETF inclusion.
Hedera is a decentralized public network utilizing the Hashgraph consensus algorithm. The network is governed by a council of prominent organizations like Google and IBM. The Hedera token, HBAR, plays a central role in facilitating transactions across the network.
ETF Race Intensifies
This move follows Grayscale’s earlier filings for ETFs focused on other cryptocurrencies such as Cardano, Solana, and XRP. Grayscale has a strong track record with the SEC because it successfully argued for the approval of spot Bitcoin and Ethereum ETFs in recent months. This success has enhanced the firm’s confidence in securing approval for its altcoin-based ETFs.
Other asset managers, such as Rex-Osprey and Tuttle Capital, are seeking SEC approval for crypto ETFs, including Dogecoin. The approval prospects for major altcoins like XRP and Solana looks promising but the likelihood of memecoin ETFs gaining approval remains uncertain. The SEC’s recent approach to crypto regulation, including the resolution of the Kraken lawsuit, has left the industry hopeful for more positive developments.
More filings are expected in the coming months especially with changing SEC stance on crypto ETFs. The outcome of these filings will have major implications for the future of crypto ETFs and broader market access for investors. Additionally, these filings mark an important step forward for the crypto investment ecosystem.
However, HBAR’s market performance has struggled, showing a 14.5% drop in the past 24 hours and currently trades at $0.22.