The Litecoin ETF is anticipated to be the next cryptocurrency ETF approved in the United States. This prediction follows the revised S-1 registration form submission from Canary Capital regarding their Litecoin ETF proposal, as noted by Bloomberg Senior ETF Analyst Eric Balchunas.
Revised S-1 Filing Indicates SEC Engagement
In October 2024, Canary Capital submitted the S-1 registration form for the Litecoin ETF to the U.S. Securities and Exchange Commission (SEC). The company released a revised version of this form on Wednesday. According to the document, US Bancorp Fund Services will manage the ETF, while Coinbase Custody Trust and BitGo will store the fund’s Litecoin.
“S3 had gotten comments back from [the] SEC,” Balchunas stated.
Bloomberg analysts suggest that these changes may indicate the SEC’s interest. Another Bloomberg ETF analyst, James Seyffart, noted that this revision might suggest the SEC has provided feedback on the application. However, a 19b-4 filing has yet to be made, which would officially initiate the approval process.
Uncertainty Surrounding New SEC Leadership
The timing for the approval process of the Litecoin ETF may depend on changes in SEC leadership. Current SEC Chair Gary Gensler is set to depart on Monday. Former SEC commissioner Paul Atkins, who has previously supported the cryptocurrency sector, has been nominated to lead the agency.
However, the Senate has not yet confirmed Atkins’s appointment, leaving the timeline uncertain.
Growing Interest in Spot Crypto ETFs
Launched in 2011 as a more efficient alternative to Bitcoin 
$99,709, Litecoin is one of the oldest and most stable blockchains. Following the announcement, Litecoin’s price surged over 18%, reaching $119.46.
Analysts predict that the current upward trend could surpass the $130 threshold, potentially pushing LTC prices to $170. Furthermore, open positions increased by 29.58% in the last 24 hours to $575.39 million, while trading volume jumped by 277.25% to $1.65 billion.
Steps Toward Litecoin ETF Approval
Although the revised S-1 filing signifies progress, there is no definitive timeline for the Litecoin ETF’s approval. The submission of a 19b-4 filing will officially initiate the SEC’s decision-making process, yet Canary Capital has not provided any updates on this front.
Canary Capital emphasizes that Litecoin has maintained “100% uptime” since its inception, highlighting its security and stability. As industry participants await the SEC’s response and possible 19b-4 filing, the momentum for Litecoin ETF approval continues to build.
The approval of the organization’s Litecoin ETF could increase institutional interest in the cryptocurrency market and may serve as a positive precedent for the approval of other altcoin ETFs.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
