Thomas Daniels
The U.S. Securities and Exchange Commission (SEC) has deferred its decision on Grayscale Investments’ proposal to convert its Polkadot Trust into a spot exchange-traded fund (ETF). Originally slated for a verdict by April 27, the SEC has now extended the review period to June 11, 2025, allowing additional time to assess the proposed rule change submitted by Nasdaq on February 24, 2025.
This extension aligns with the SEC’s standard 90-day review timeline for such applications. The agency stated that the prolonged period is necessary to thoroughly evaluate the proposal and address any issues raised.
The delay occurs amid a significant increase in crypto ETF filings, following the departure of former SEC Chair Gary Gensler. The influx of applications has prompted the SEC to adopt a cautious approach, ensuring comprehensive reviews of each proposal.
In addition to Grayscale’s Polkadot ETF, the SEC has also postponed decisions on other notable crypto ETF applications. Canary Capital’s Hedera (HBAR) ETF and Bitwise’s Bitcoin and Ethereum ETF have both had their review periods extended to June 10, 2025.
These delays underscore the SEC’s meticulous evaluation process for cryptocurrency-related financial products. As the agency continues to navigate the evolving digital asset landscape, stakeholders await further developments regarding the approval of crypto-based ETFs.
