Cardano Spot ETF: Grayscale Files First Spot ADA Fund Application

Key Takeaways

• Grayscale’s spot Cardano ETF filing is the 60th crypto fund application of 2025.
• Cardano (ADA) is traded within multiple index funds and institutional-grade products.
• Spot altcoin ETF applications for Litecoin (LTC), Ripple (XRP), and Solana (SOL) are pending.

Grayscale has made history by becoming the first to file for a spot Cardano (ADA) exchange-traded fund (ETF), marking the 60th crypto fund application.

Cardano is amongst some of the most popular tokens considered to succeed in becoming a spot ETF and stands a solid chance to succeed as the U.S. Securities and Exchange Commission (SEC) shifts pro-crypto.

Cardano ETFs?

Cardano is a strong contender for spot ETF status. It’s one of the most recognizable cryptocurrencies on the market and has stood shoulder-to-shoulder with other market titans since 2017.

It is also already included in several institutional investment products that vary in shape and size.

For example, Bitwise has been offering exposure to ADA through its physically backed ETPs since 2021. Notably, this is listed on the SIX Swiss Exchange.

In addition, ADA currently comprises 16.89% of Grayscale’s Smart Contract Platform Ex-Ethereum Fund. It is also included in the Hashdex Nasdaq Crypto ETF and a $1.4 billion index, namely Bitwise’s 10 Crypto Index Fund ( BITW ).

This should improve the chances of the first spot ADA ETF being approved. However, there are still no guarantees.

Initial Filings

Grayscale

Major crypto asset manager Grayscale has made history by filing a 19b-4 form for the first-ever spot ADA fund to be listed on the New York Stock Exchange (NYSE).

Unlike its other spot altcoin ETF filings that will see it convert trusts into spot funds, this would instead be a brand-new fund.

Following the pending approval/rejection of the 19b-4 filing, Grayscale must still provide the all-important S-1 registration statement with the SEC . It’s a comprehensive document covering how the fund will operate and is required before trading can begin.

Tuttle Capital

The most recent filing from Tuttle Capital is seeking approval to create a 2X Cardano Leveraged ETF. Surprisingly, it is the first time ADA has been pinned to a U.S. ETP filing.

Launch Conditions

Similarly to other spot ETF hopefuls—Ripple ( XRP ), Litecoin ( LTC ), and Solana ( SOL )—a spot ADA ETF is possible, though it faces some hurdles.

As noted, it has a long track record of trading in the crypto markets and broader institutional adoption in the form of other investment products.

Presumably, it will face fewer challenges getting approved than Dogecoin ( DOGE ). However, it is believed that if the SEC approved one of any spot XRP, LTC, or SOL ETF applications, the rest would follow.

Fund issuers are also attempting to bring new features to Bitcoin (BTC) and Ethereum ETFs that were previously refused under former SEC Chairman Gary Gensler.

In time, the U.S. government is expected to establish clear regulations on crypto, with pro-crypto figures heading up the SEC and other agencies.

Eyes on Cardano

After achieving an all-time high (ATH) of almost $3 and a market cap of over $94 billion in 2021, ADA tumbled significantly following that year’s crypto crash.

After trading in the $0.30 region in the years that followed, with a market cap that meandered between $8 billion and $13 billion, ADA has since returned to form.

In November 2024, ADA jumped to highs of around $1.20 amid the “Trump Trade” euphoria that swept markets as Donald Trump secured the U.S. Presidential election victory.

Seemingly riding high on the prospect of further ADA ETF/ETP applications, ADA is trading at $0.79 , up 13.95%, in the past 24 hours, with a market cap of $28.05 billion.