Grayscale Seeks SEC Approval for Polkadot ETF

Grayscale Investments, a prominent crypto asset management firm, has filed a formal request with the U.S. Securities and Exchange Commission (SEC) to list and trade shares of the Grayscale Polkadot Trust (DOT). This move adds Polkadot's DOT token to Grayscale's portfolio of offered funds, which already includes Bitcoin and Ethereum ETFs.

The filing, submitted via a Form 19b-4, initiates a 45-day review period for the SEC to acknowledge the application. During this period, the regulator can approve, disapprove, or extend the review period for the proposed ETF. This process is a significant step towards bringing a Polkadot ETF to the market, subject to regulatory approval.

Grayscale's latest filing comes amidst a series of applications to the SEC for new crypto ETFs. In recent weeks, the company has submitted proposals to convert its XRP Trust into an exchange-traded fund and to list a spot Cardano ETF. These filings reflect a shift in the SEC's approach towards the digital asset industry under the Trump administration, with the regulator dropping numerous crypto-related investigations.

Notably, this is the first time Grayscale has sought to offer a standalone Polkadot product. The filing places Grayscale in competition with 21Shares, another crypto asset manager that recently filed to list a spot Polkadot ETF with the SEC.

At the time of writing, Polkadot's DOT token is trading at $4.4, having lost 6.7% of its value in the last 24-hour period. This decline is part of a broader cryptocurrency market downturn, reflecting the volatile nature of the digital asset landscape.