Litecoin (LTC), the 14-year-old crypto with a market capitalization below $10 billion, has gained the attention of U.S-based exchange-traded funds (ETF) issuers. As revealed in a recent X post by Bloomberg analyst James Seyffart, Canary Capital has filed for a spot LTC ETF with the U.S. Securities and Exchange Commission (SEC).
If the agency approves, interested investors will gain exposure to the crypto by indirectly purchasing it from asset managers, easing the stress of managing a cold crypto wallet or crypto exchange account.
NEW: @CanaryFunds just filed an amended S-1 for their Litecoin ETF filing. No guarantees — but this might be indicative of SEC engagement on the filing. Still no 19b-4 filing yet though
(A 19b-4 would actually start the potential approval/denial clock) h/t @isabelletanlee pic.twitter.com/wFtNOmbmYx
— James Seyffart (@JSeyff) January 15, 2025
Litecoin ETF Around the Corner
Canary Capital already has an existing S-1 application for a spot litecoin ETF. Furthermore, the asset manager submitted an updated version of its filing on Wednesday.
According to Seyffart, the amendment implies that the U.S. Securities and Exchange Commission (SEC) has examined and started acting on the company’s filings and has noted changes to be made, thus, the need for revision and modification. However, there is no 19b-4 form yet, meaning that the financial watchdog is not obligated to approve or deny the applications within a limited period.
Notably, Canary Capital is the first firm to file for a spot LTC ETF, but analysts anticipate an application from Grayscale if it decides to switch its LTC Trust to a fund.
Altcoin ETF Applications Await Approval
Canary’s Litecoin ETF application has added the crypto to the queue of altcoins awaiting approval from the SEC. Others include Solana (SOL) and Ripple (XRP).
According to Fox Business Eleanor Terrett, about three asset managers filed for a spot Solana ETF before the end of last year, and the SEC has started reviewing the filings. Meanwhile, the agency expects a 19b-4 application from the Chicago Board Options Exchange (CBOE). According to analysts, approving a Spot Solana ETF could soon push the crypto to $1,200.
Similarly, a few finance management firms like WisdomTree and Bitwise have filed for a spot XRP ETF. Recently, the crypto soared in value and market capitalization to rank as the third-largest coin.
Meanwhile, JPMorgan has predicted that the altcoin ETF market could amass $14 billion within the first year of trading.