Key Points
- DOT price spiked by over 2% after Grayscale announced filing for an ETF with Nasdaq.
- The announcement comes after the US SEC acknowledged Grayscale’s ADA ETF earlier.
According to the latest reports, Grayscale continues to file for another ETF. The asset manager has just filed for a Polkadot (DOT) ETF with Nasdaq which triggered a price surge for the DOT digital asset.
DOT Price Spikes Following the Announcement
At the moment of writing this article, DOT is trading at $4.47, having a market cap of $6.94 billion.
DOT was trading at around $4.25, with a market cap of $6.58 billion and its price surged following the Grayscale announcement by over 2%.
Grayscale Files for DOT ETF
According to official reports, Grayscale submitted a 19b-4 filing with the SEC for a DOT ETF with Nasdaq as custodian.
What is Polkadot (DOT)?
Polkadot is an open-source sharded multichain protocol that connects and secures a network of specialized blockchains, facilitating cross-chain transfer of any data or asset types, besides tokens. It allows blockchains to be interoperable with each other.
Polkadot was designed to provide a foundation for a decentralized Internet of blockchains aka Web3.
Polkadot is also known as a Layer 0 metaprotocol because it underlines and describes a format for a network of L1s also known as parachains. As a metaprotocol, Polkadot is also capable of autonomously updating its own codebase via on-chain governance, according to the will of its token-holder community.
Polkadot has 4 core components:
- Relay Chain – Helping to create consensus, interoperability, and shared security
- Parachains – Having their own tokens and being optimized for specific use cases
- Parathreads – Similar to parachains but with flexible connectivity
- Bridges – Allowing parachains and parathreads to connect and community with external blockchains
Other Grayscale ETF Filings
Grayscale’s announcement comes after the US regulator had previously acknowledged Grayscale’s ADA filing.
Previously, Grayscale had filed for more ETFs including SOL, XRP.
