Grayscale Investments has officially filed for a Cardano ($ADA) exchange-traded fund (ETF) with NYSE Arca, marking a significant step toward institutional adoption of the blockchain’s native asset.
Institutional Partners and Market Reaction
According to the filing, Coinbase Custody Trust Company would serve as the custodian for the ETF’s assets, while BNY Mellon Asset Servicing would act as its administrator. The Delaware Trust Company has been named as the trustee. A Cardano ETF would allow institutional and retail investors to gain regulated exposure to ADA without directly purchasing or storing the cryptocurrency.
Regulatory Hurdles and Market Landscape
So far, the SEC has only approved spot ETFs for Bitcoin and Ethereum. Other cryptocurrencies, including Solana and XRP, have faced delays due to regulatory uncertainty. The SEC previously classified ADA as a security in its 2023 lawsuits against Binance and Coinbase, which could pose additional challenges for approval.
Cardano Joins the Growing ETF Race
Grayscale’s move follows a wave of crypto ETF applications in recent months. Virtune AB launched a Cardano ETP on Nasdaq Helsinki in February 2025. In January 2025, Tuttle Capital filed for a 2x leveraged ADA ETF. Grayscale is also working to convert its XRP Trust into an ETF.
Grayscale's application for a Cardano ETF may be a significant step towards gaining broader institutional recognition for cryptocurrency and will likely spur further interest in regulated crypto investments.
