Grayscale Registers For A Hedera ETF, Boosting Investor Sentiment In HBAR

• Grayscale registered for a Hedera Trust ETF on Tuesday, leading to significant momentum in HBAR’s price.
• Bloomberg ETF analysts forecast a 90% chance of approval for the investment company’s pending HBAR ETF filing.

Grayscale recently registered for a Hedera (HBAR) exchange-traded fund (ETF) in the US, boosting bullish sentiment in its related cryptocurrency asset. According to the Division of Corporations website at the Department of State in Delaware, the investment platform submitted its application on Tuesday, August 12.

Hedera ETF Registration (Source: State of Delaware Official Website)The product is called “Grayscale Hedera Trust ETF,” and it is registered under the CSC Delaware Trust Company. This move often precedes an S-1 filing with the Securities and Exchange Commission (SEC).

The event led to a 13% bump in the price of HBAR from Tuesday to the present as its value pivoted between a $0.2435 low on Tuesday and a $0.2759 high today.

ADVERTISEMENTHBAR to USD## Key Features of the Spot Hedera ETF

Both Hedera and Grayscale have yet to comment officially on the matter. Nonetheless, it could spur heightened investor interest and adoption of HBAR via ETFs.

If approved, the investment instrument would give holders exposure to HBAR without worrying about the complexities of setting up and maintaining a crypto wallet and managing the custody of the token. It would also let investors trade the assets conveniently, like traditional stocks.

Grayscale’s Spot HBAR ETF Filings

Grayscale has notably submitted a 19b-4 for a Hedera ETF on February 24 this year, which the SEC acknowledged. The final deadline for the regulator’s action on the filing is November 11.

ADVERTISEMENTAnalysts like Bloomberg ETF experts James Seyffart and Eric Balchunas are confident about the SEC’s favorable decision on all pending HBAR ETFs, giving the investment products a 90% chance of approval on or before the final deadline this year.

Pending Spot Crypto ETF Odds of Approval (Source: James Seyffart via X)The expected S-1 filing is different from the 19b-4 submission, though. The former is a registration statement for companies planning to offer securities to the public. The latter contains a proposed rule change from self-regulatory organizations (SROs).

Other Crypto ETF Filings and Products of Grayscale

So far, only Grayscale and Canary Capital have filed for a spot Hedera ETF. Besides HBAR, Grayscale has additionally submitted requests for the approval of spot ETFs based on Litecoin (LTC), Solana (SOL), XRP, Dogecoin (DOGE), Cardano (ADA), Polkadot (DOT), and Avalanche (AVA).

Meanwhile, Grayscale has already launched spot Bitcoin (BTC) and Ethereum (ETH) ETFs last year, with each having two versions to differentiate the converted and spin-off products. The SEC approved its basket ETF in July, but the regulator controversially paused its launch immediately as it supposedly waits to craft a more comprehensive framework for crypto ETFs.

Grayscale’s spot BTC ETFs have displayed -$23.722 billion and $1.689 billion net inflows since launch. On the other hand, its spot ETH ETFs have shown -$4.284 billion and $1.338 billion total net inflows. It should be noted that the figures with negative readings come from the converted investment trusts of the company into ETFs.

Bitcoin and Ethereum ETF Inflows (Source: Farside Investors)

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