Grayscale Withdraws Plans for Cardano, Polkadot, and Hedera ETFs

Grayscale Investments has withdrawn its registration statements for exchange-traded funds tied to Cardano’s ADA, Polkadot’s DOT, and Hedera’s HBAR, submitting three separate requests to the SEC late Friday. In each filing, the asset manager stated it no longer intends to proceed with distributing shares of the proposed trusts. The withdrawals were initiated voluntarily by Grayscale rather than being rejected by regulators, and no securities were ever issued or sold under the registrations.

Filings Date Back to Early 2025

The proposed funds were first filed over a year ago, with the Cardano and Polkadot proposals submitted in February 2025 and the Hedera filing following later that year. Each was designed as a passive investment vehicle tracking the underlying token’s value after fees, but none of the products ever became effective.

Token Performance Has Weakened Significantly

All three tokens have posted steep losses since their respective ETF filings, with declines ranging from roughly 70% to 80% during that period. This move trims Grayscale’s pipeline of single-token product proposals, though the firm continues to operate over a dozen other crypto ETF products spanning various digital assets.