Nasdaq Extends a Decision Deadline for the 21Shares Spot Polkadot (DOT) ETF

The move mirrors the deliberations that continue on the approval of exchange-traded funds based on cryptocurrencies.

Nasdaq has extended a decision deadline for the 21Shares Spot Polkadot (DOT) ETF, continuing the deliberations on the approval of exchange-traded funds based on cryptocurrencies.

The exchange originally applied for approval to list and trade shares of the 21Shares Polkadot Trust ETF in March with the U.S. Securities and Exchange Commission (SEC), seeking to introduce the ETF on its platform by May 18. However, the SEC has opted to postpone its ruling on the ETF until June 11.

The move comes as the SEC continues to consider a batch of ETF applications that were submitted earlier this year. Among these applications, which cover various crypto assets such as XRP, Solana, and Litecoin, are five for Bitcoin ETFs from well-known firms like BlackRock (NYSE:BLK) and Invesco.

The outcome of the review of the DOT ETF is expected to provide insight into how open regulators will be to broader crypto ETF offerings in the coming period.

Earlier this year, 21Shares submitted an S-1 registration to the SEC to launch the spot DOT ETF. The filing, which was submitted in February, disclosed that the fund will not engage in any speculative trading activity and will aim to closely track the price movements of Polkadot.

Coinbase Custody Trust Company has been appointed as the custodian for the ETF, which will be launched as a trust investment vehicle.

The SEC’s decision to postpone its ruling on the DOT ETF comes as no surprise, considering the ongoing integration of cryptocurrencies into mainstream financial products. In April, the SEC opted to defer its ruling on the first batch of Bitcoin ETFs, delaying the decision until November.

At the time, the regulator had set a May 10 deadline for its ruling on the Bitcoin ETFs, which were applied for by firms such as Bitwise and VanEck. However, the commission opted to extend the deadline by six months, pushing it to November 9.

The move to postpone the decision was seen as a sign of the increasing interest in cryptocurrencies and the potential for new financial products to be launched in the coming year.

The price of Polkadot (DOT) is currently trading at $4.74, marking a 5.24% decrease in the past 24 hours.