The U.S. Securities and Exchange Commission (SEC) has acknowledged Grayscale’s March 11, 2025, filing for its Hedera (HBAR) ETF. The development comes on the heels of Nasdaq Stock Market LLC submitting a 19b-4 form with the SEC on March 3, 2025, to list and trade the spot Hedera ETF.
The Hedera filing is further fueled by Bloomberg Senior ETF Analyst Eric Balchunas, who purports that Hedera and Litecoin ETF applications currently have the “best odds” of securing SEC approval among altcoin ETF filings.
Grayscale Cryptocurrency ETF Applications
Grayscale has aggressively sought an increasing portfolio of ETFs since the SEC allowed Bitcoin ETFs in early 2024. Among several altcoins they have registered for are Polkadot (DOT), XRP, Dogecoin (DOGE), Cardano (ADA), and Solana (SOL).
Moreover, Grayscale is not alone in filing for a Hedera ETF. Other fund managers, like Canary Capital, previously filed a 19b-4 form for their spot HBAR ETF. The SEC has also opened Canary Capital’s filing for public comment.
If Grayscale’s filing is approved, qualified investors hesitant about the complexities of cryptocurrency custody and security would be able to gain exposure to HBAR without directly holding the asset.
Furthermore, the ETF would trade alongside other Grayscale investment products on the Nasdaq exchange. The increased accessibility may drive substantial new capital into the Hedera ecosystem.
What Makes Hedera Unique?
Hedera stands out from traditional blockchain networks because of its hashgraph consensus mechanism. The mechanism offers advantages, including superior speed for more efficient transaction processing, reduced vulnerabilities, enhancing security, and handling large transaction volumes at lower costs.
It also is governed by a council of well-known multinational companies, including Google, IBM, Boeing, Deutsche Telekom, and LG Electronics. This framework gives it great institutional legitimacy and strengthens its standing as a respectable blockchain solution fit for businesses.
The acceptance of altcoin ETFs like Grayscale’s Hedera fund could affect the cryptocurrency market favorably. Raising exposure and liquidity may, for example, boost market capitalizations, trading volumes, and pricing of the underlying altcoins.
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