Altcoins News

Story: Grayscale Withdraws Cardano, Hedera, and Polkadot ETFs in Under Four Minutes

By Sakamoto Nashi

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Cardano, Hedera, Polkadot: Already Weakened Cases. These three ETFs weren't exactly in good shape before August 7.

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The CLARITY Act, Missing Piece of the Puzzle. Why now? Grayscale isn't saying, so there's some speculation.

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On August 7, Grayscale executed three ETF withdrawals in just 190 seconds. No explanation. No press release. Just three forms filed with the SEC, and it was done.

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The official documents are clear about the timeline. At 4:33:37 PM, the Grayscale Cardano Trust ETF was the first to disappear.

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These three ETFs weren't exactly in good shape before August 7. NYSE Arca had already dropped the listing proposal for Cardano last September.

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On the market side, data from Coinglass shows a slight increase in open interest on ADA futures contracts following the announcement. Slight.

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Why now? Grayscale isn't saying, so there's some speculation. Some analysts had warned of a potential crypto exodus if the CLARITY Act wasn't passed by the Senate.

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And Grayscale isn't exiting the sector. Far from it.

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Related: XRP ETFs Log Four Straight Weeks of Gains as Price Tests $1 Support

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Related: Bitcoin ETFs Attract $853 Million as Minority Chain BIP-110 Dies After Two

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The list of projects still under regulatory review is long: ETFs on Bittensor, Aave, BNB, NEAR Protocol, Zcash. All still in the pipeline.

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A withdrawal via Rule 477 isn't a definitive death either. Grayscale, or any other issuer, can reapply if conditions change.

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But right now, these three tokens won't have Grayscale ETFs in the U.S. And American exchanges, led by NYSE Arca and Nasdaq, have already shown they're not in a hurry to support…

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The market reacted in a mixed way. Neither panic nor euphoria. ADA open interest rises a bit, activity remains sluggish, and institutions seem to be waiting.

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More context: Bitcoin ETFs Pull $853M as BIP-110 Minority Chain Dies After Two Blocks

The Currency Analytics

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