US SEC Weighs Grayscale’s Proposal for Hedera (HBAR) ETF on Nasdaq

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Nikolaj Krastev
11 March, 2025, 22:39
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SEC Acknowledges Grayscale’s Proposal for Hedera (HBAR) ETF: What’s Next?

The U.S. Securities and Exchange Commission (SEC) has officially acknowledged a proposed rule change that could pave the way for Nasdaq to list and trade shares of the Grayscale Hedera Trust. This marks a significant development for crypto investors as it could potentially allow Grayscale to launch an ETF based on HBAR, the native token of the Hedera Network.

What’s Happening with Grayscale’s HBAR ETF?

Following Nasdaq’s Form 19b-4 submission earlier this month, requesting approval to offer Grayscale’s investment product that would hold HBAR, the SEC has opened a 21-day public comment period. After this period, the regulator will decide whether to approve, disapprove, or initiate further proceedings regarding the filing.

If approved, shares of the Grayscale Hedera Trust would trade on Nasdaq under commodity-based trust share rules. The trust’s sponsors will be Grayscale Operating and Grayscale Investments, with CSC Delaware Trust Company serving as trustee and Coinbase Custody Trust Company as custodian.

A Sign of Shift in the SEC’s Crypto Stance?

Although the SEC’s acknowledgment doesn’t guarantee approval, it suggests a potential shift in the regulator’s stance toward crypto investment products. This marks a departure from previous instances when the SEC’s reluctance led to the withdrawal of similar applications.

Hedera HBAR Price Prediction 2025: Can HBAR Break $0.40 Resistance?

This comes on the heels of the SEC’s recent approvals of spot Bitcoin and Ethereum ETFs, signaling a possible softening of its position towards cryptocurrency-related financial products. Nasdaq has highlighted that its surveillance-sharing agreement with Coinbase Derivatives, under ISG membership, ensures sufficient investor protections, similar to those used in the approval of Bitcoin and Ethereum ETFs.

Grayscale’s Growing Crypto Portfolio

Grayscale’s proposed HBAR ETF is not the company’s only foray into the crypto ETF market. The firm is also working with the SEC to obtain approval for additional digital asset investment products, including ETFs tracking XRP, Solana, Dogecoin, Litecoin, and Cardano.

Interestingly, Grayscale and Canary Capital are the only two asset managers pursuing the launch of HBAR ETFs. Last month, Nasdaq also submitted a 19b-4 form with the SEC on behalf of Canary Capital for its spot HBAR ETF.

HBAR’s Market Position

At present, HBAR, the native token of the Hedera Network, ranks as the 16th largest cryptocurrency by market capitalization, according to CoinGecko. Currently trading at approximately $0.19, HBAR has experienced a 17% decline over the last seven days.

Key Takeaways:

The SEC has acknowledged Grayscale’s proposed rule change for a Hedera (HBAR) ETF on Nasdaq.
Nasdaq’s surveillance-sharing agreement with Coinbase Derivatives ensures investor protections, similar to previous crypto ETF approvals.
Grayscale is also pursuing approval for additional digital asset ETFs, including those for XRP, Solana, Dogecoin, and Cardano.
HBAR, currently trading at $0.19, has experienced a 17% drop in the past week.