Nasdaq just filed a 19b-4 to initiate trading of the Litecoin ETF from Canary Capital today. The move comes just hours after Canary amended its S-1 form, which could indicate a positive response from the SEC.
Many analysts predict that the SEC will soon approve the fund, making it the first altcoin ETF of 2025.
Canary Capital’s Litecoin ETF
The road to a Litecoin ETF appears to be nearing the finish line. Earlier today, Canary Capital filed an amendment to its S-1 form with the SEC, signaling approval and attracting strong whale activity.
ETF analyst Nate Geraci attention that Nasdaq has also filed a 19b-4, asking the SEC to allow trading of the Canary Litecoin ETF.
“The Litecoin ETF now has all the necessary requirements. The first alt coin ETF of 2025 is preparing to launch. I see no reason to withdraw this application when the SEC has responded on form S-1, Litecoin is considered a commodity, and there is a new management of the SEC,” said Eric Balchunas, another ETF analyst.
If Canary Capital’s Litecoin ETF is approved by the SEC, it could significantly impact the asset’s value. Lately, Litecoin has been under intense downward pressure, including the lowest number of daily active addresses since 2023.
However, the anticipation surrounding this ETF has quickly generated a large amount of interest, which could stimulate new momentum.
Although a Litecoin ETF may not attract the same attention as other altcoin ETFs, as the network has seen less development than others. Furthermore, LTC growth has stagnated even in a bull market.
However, the possibility of a Litecoin ETF being approved is still higher because there are few barriers from the SEC. For example, Litecoin has been deemed a commodity by regulators, avoiding the debate over whether the asset should be considered a security or not.
Canary Capital has been actively pursuing a Litecoin ETF for the past several months. The firm has filed SEC filings for multiple crypto ETFs, from popular candidates like Solana to uncommon ones like Hedera. Interestingly, Canary is currently the only issuer seeking an LTC-based product, giving it a clear advantage in the market.
If the SEC finally approves a Litecoin ETF, Canary Capital could get a big business opportunity. The company will have the advantage of being first in the market, immediately trading its products while other competitors have to rush to bring their products to market.
However, this does not guarantee long-term success, as Grayscale has not performed well when compared to BlackRock, despite being the first to issue a Bitcoin ETF.
However, these rumors have brought about significant price increases and attraction from the “whales”. In short, Canary can benefit greatly from this. Just a few more steps from the SEC are needed to launch the new market. If approved, LTC will become the third cryptocurrency to have an ETF in the US market.