Cardano Advancements Discussed, Ethereum Price Forecasts Dissected, and More: Bits Digest May 30th
U.S. SEC Extends Review of Grayscale's Spot ADA ETF Application
The U.S Securities and Exchange Commission (SEC) has prolonged its decision on Grayscale's application to introduce a spot ADA ETF offering, with the initial deadline now set for July 13, 2025. Initially, the SEC had 240 days to decide on the product, extending the timeline to October 22, 2025, if needed.
Grayscale, a leading digital asset manager, submitted the application for converting the Cardano Trust into a spot ADA ETF on February 10, 2025. The SEC officially acknowledged the filing on February 24, 2025, launching a 240-day evaluation process. In March 2025, the SEC pushed the first decision deadline from April to May 29, 2025, later extending it further to July 13, 2025.
The extension allows the SEC more time to assess the proposal in detail, with the possibility of further extensions if needed. The regulatory agency also invited public comments on the amendment filings related to this ETF proposal, demonstrating an ongoing thorough evaluation.
Historically, the SEC has been circumspect when it comes to approving spot ETFs for altcoins. Nevertheless, market analysts and prediction platforms anticipate a 75% chance of the ETF receiving approval in 2025, potentially as early as summer. If approved, the spot ADA ETF would offer institutional and retail investors regulated access to Cardano tokens through conventional brokerage accounts, potentially boosting Cardano's market adoption and price.
Meanwhile, the Cardano community remains actively supportive of the ETF proposal, highlighting its potential impact on the digital asset's market standing. Whale activity has further bolstered confidence in ADA, with significant purchases of over 180 million tokens made last week. Other noteworthy developments within the Cardano ecosystem, such as the ability to bridge Bitcoin Ordinals to the Cardano blockchain, suggest a promising future.
ETH's price, currently trading at just north of $2,600, has climbed 45% on a monthly basis. Industry experts forecast further growth, potentially pushing the asset beyond $3,000 in June. However, a pullback was observed over the past 24 hours.
On the other hand, Ripple's cross-border token has witnessed a 322% increase over the past year but has fallen 10% over the past week. Santiment warns that the high level of profits being made on XRP may prompt a short-term correction due to increased profit-taking risks.
In essence, the SEC's cautious approach to altcoin ETFs has led to delays in the approval of Grayscale's spot ADA ETF, despite favorable market conditions and high approval chances. While the decision timeline has been extended, the growing enthusiasm within the Cardano community and push for regulatory clarity provide hope for a future ETF approval that could redefine the crypto ETF landscape in the U.S.
- The SEC's decision on Grayscale's spot ADA ETF application, initially due by April 2025, has been extended to July 13, 2025, indicating a detailed assessment of the proposal.
- The approval of Grayscale's spot ADA ETF could potentially offer institutional and retail investors regulated access to Cardano tokens, thereby boosting its market adoption and price.
- Market analysts and prediction platforms anticipate a 75% chance of the ETF receiving approval in 2025, potentially as early as summer, which could redefine the crypto ETF landscape in the U.S.
- Meanwhile, Ethereum (ETH) has seen a 45% increase in price over the past month, with experts forecasting further growth potentially pushing the asset beyond $3,000 in June, although a temporary pullback was observed recently.
- In contrast, Ripple's cross-border token has experienced a 322% increase over the past year but has fallen 10% over the past week, with Santiment warning of increased profit-taking risks that may prompt a short-term correction.
