CoinDesk
Grayscale asked the SEC to withdraw proposed ETF registrations tied to Cardano's ADA, Polkadot's DOT and Hedera's HBAR in three filings submitted within four minutes late Friday. The asset manager said it no longer intended to proceed with the planned distributions; none of the trusts became effective, and no securities were issued or sold. The withdrawals were initiated by Grayscale, not the SEC, and the firm gave no reason. Year to date, ADA is down more than 41%, DOT 54% and HBAR 35%.
Why it matters
The distinction matters for investors. A sponsor-initiated withdrawal is not an SEC rejection, and Grayscale could submit new registrations later. The proposed funds were passive vehicles designed to track the value of each token after fees and expenses, but none reached the market.
The withdrawals cut three planned single-token products from Grayscale's pipeline. The Cardano proposal came in February 2025, and the Polkadot filing followed later that month. The corresponding ADA and DOT registration statements were filed Aug. 29, followed by HBAR's on Sept. 9.
Market impact
Measured from late February 2025, losses reached 70% for ADA and 80% for DOT, while HBAR fell more than 70%. The immediate market effect is not ETF outflows, because no securities were issued or sold. It is a smaller near-term pipeline for single-token products tied to the three assets.
Grayscale still lists 17 ETF products on its website, so the withdrawals narrow rather than eliminate its ETF lineup. Investors will be watching for an explanation from the asset manager or a future refiling.
Frequently asked questions
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Why did Grayscale withdraw the three ETF registrations?
The asset manager gave no reason for the sponsor-initiated withdrawals.
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Were the withdrawals SEC rejections?
No. Grayscale initiated the withdrawals, and they were not SEC rejections.
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Did any of the ADA, DOT or HBAR trusts reach the market?
No. None became effective, and no securities were issued or sold.
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How much have ADA, DOT and HBAR fallen year to date?
ADA is down more than 41% year to date, while DOT is down 54% and HBAR 35%.
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Could Grayscale submit these ETF registrations again?
Yes. Grayscale could submit new registrations later, although it gave no reason for the withdrawals.
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