The U.S. Securities and Exchange Commission (SEC) has delayed digital asset management firm 21Shares' application for a spot Polkadot ETF.
The SEC’s deadline for a decision on the Polkadot Spot ETF is Nov. 8, and Bloomberg analysts see a 90% chance of approval. In addition, analysts say the current delays are normal.
The company's goal is to track the performance of Polkadot's native token, DOT, through a passive investment vehicle and offer the cryptocurrency directly to investors by holding it in custody.
According to regulatory filings, the fund will use the CME CF Polkadot-to-Dollar Reference Rate as its benchmark, which is calculated based on trading flow from major DOT trading platforms.
21Shares already offers exposure to Polkadot through its products traded on European exchanges and has a significant presence in the digital asset space.
Polkadot was developed by Ethereum co-founder Gavin Wood with the aim of enabling different blockchain networks to connect and communicate with each other.
*This is not investment advice.
