Is the SEC Finally Ready to Approve the First Spot HBAR ETF?
Is the SEC Finally Ready to Approve the First Spot HBAR ETF? The U.S. Securities and Exchange Commission (SEC) has established November 12, 2025, as the final deadline to either approve or reject Nasdaq’s proposal to list and trade the Grayscale Hedera Trust, marking a pivotal moment for what could become the first U.S. spot HBAR ETF.
According to a Nov. 2 post by Financial Press on X (formerly Twitter), the SEC’s latest extension represents the maximum allowable review period under Section 19(b)(2) of the Securities Exchange Act, meaning the regulator can no longer delay its decision beyond this date.
If approved, the Grayscale Hedera Trust would offer investors regulated exposure to Hedera (HBAR), adding to the expanding landscape of spot crypto ETFs in the United States.
SEC Review Timeline: Multiple Extensions and Rising Expectations
The proposal was initially filed on Feb. 28, 2025, under Nasdaq Rule 5711(d), which governs trust shares tied to commodities. Review proceedings began on June 12 and were last postponed on Sept. 9.
Throughout the process, Grayscale also filed a Form S-1 registration statement, outlining how the trust would hold HBAR and track its spot market price, adjusted for fees and liabilities.
The SEC cited the need for further evaluation of surveillance measures, liquidity, and volatility before reaching a verdict. However, analysts now estimate a 60–80% approval probability given Hedera’s enterprise adoption and ISO 20022 compliance—key factors boosting institutional confidence.
HBAR ETF Race Intensifies as Institutional Interest Surges
The upcoming decision coincides with Canary Capital’s competing spot HBAR ETF, which faces an earlier ruling on Nov. 8—potentially setting a precedent for Grayscale’s outcome.
Hedera, meanwhile, has transferred 250 million HBAR to its staking rewards account, a move seen as pre-ETF supply management designed to enhance yield opportunities.
Currently, at least six U.S. ETF applications are linked to HBAR, including proposals from REX-Osprey and KraneShares. Analysts suggest that a favorable SEC ruling could accelerate broader altcoin ETF adoption, especially as over 90 crypto-related ETF filings—covering XRP, Dogecoin, and Litecoin—await regulatory review.
If greenlit, the Grayscale Hedera Trust could mark a defining milestone for institutional crypto integration, positioning Hedera among the next wave of digital assets to enter the U.S. regulated ETF market.
[…] evidence comes from steady inflows into the Canary HBAR Spot ETF, which recorded positive weekly inflows in four of the last five weeks, totaling more than $80 […]