With a growing trend of spot Crypto ETF products, 21Shares is throwing its weight behind Polkadot with an S-1 registration with the US SEC
Top investment asset management firm 21Shares has taken the context for crypto Exchange Traded Funds (ETFs) further with its recent filing for spot Polkadot (DOT) ETF. The firm submitted its S-1 registration statement to the United States Securities and Exchange Commission (SEC) on Friday, hoping to get approval soon.
21Shares Polkadot Trust ETF Seeks to Shield Investors
According to the filing details, the 21Shares Polkadot Trust will track the performance of DOT, the native token for the Polkadot Network.
It would ensure that investors are not directly exposed to the risks of investing in such assets. Investors do not need to get involved in speculative buying activities like buying or selling at market peaks or troughs.
Rather, the fund will focus on exclusively tracking the CME CF Polkadot-Dollar Reference Rate price of DOT without any derivative or leverage components. Also, the 21Shares Polkadot Trust will trade on the Cboe BZX Exchange, Inc. As with most spot crypto ETFs, Coinbase Custody Company, LLC will serve as the custodian for the DOT.
During the last year, the broader crypto ecosystem has seen filings for crypto ETFs, underlined by digital assets like Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP, Dogecoin (DOGE) and Litecoin (LTC). However, the 21Shares Polkadot Trust is the first of its kind.
Tuttle Capital Management And its Multi-crypto ETF Filing
In light of new spot crypto ETF filings, the securities regulator received an application from Tuttle Capital Management.
This firm uniquely requests to list ETFs for XRP, Cardano, Solana, Litecoin, Trump, Melania, Bonk, BNP, Chainlink, and Polkadot. The firm plans to provide double the daily return of each underlying asset to make it more exciting.
Some experts think this promise of “double the daily return” offers a high-risk and high-reward investment product. As a result, they noted that Tuttle may be pushing the limits of Traditional Finance (TradFi).
Meanwhile, ecosystem observers think Litecoin ETF will soon hit the market after spot Ethereum ETFs from the past year. Senior Bloomberg ETF analyst James Seyffart mentioned that Litecoin’s regulatory classification could follow a similar trajectory to Bitcoin. His statement is premised on the fact that Litecoin is a fork of Bitcoin.
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