The Nasdaq has officially filed form 19b-4 to trade Canary Capital’s Litecoin ETF, signaling progress towards the launch of the first altcoin ETF of 2025. This filing follows Canary’s recent amendment to its form S-1, which incorporated feedback from the SEC, suggesting that approval may be imminent. Analysts are optimistic about the SEC greenlighting the fund, with ETF expert Nate Geraci stating that all necessary steps have been completed. Eric Balchunas, another prominent ETF analyst, echoed this sentiment, highlighting the regulator’s favorable view of Litecoin as a commodity and the leadership changes at the SEC . Canary Capital’s drive for a Litecoin ETF has gained momentum. The firm has been actively pursuing approvals for various crypto ETFs, including assets like Solana and Hedera. However, Canary stands alone in its bid for a Litecoin ETF, giving it a competitive edge as the sole contender in this niche. If the SEC approves this ETF , it could provide a much-needed boost to Litecoin, which has struggled recently. Litecoin’s daily active addresses hit their lowest since 2023, and the network has lagged behind other blockchains in development and adoption. Despite this, the ETF announcement has already triggered renewed interest and increased activity among large investors, or “whales.” While some question whether a Litecoin ETF will generate significant engagement compared to other altcoin ETFs, its approval seems more likely due to fewer regulatory hurdles. Litecoin’s designation as a commodity eliminates debates about its classification, making the approval process smoother. Canary Capital’s position as a first mover in the Litecoin ETF market offers significant advantages. If approved, the fund would begin trading before competitors, allowing Canary to capitalize on market interest and establish itself as a leader. However, early entry doesn’t always guarantee success, as seen with Grayscale’s Bitcoin ETF , which underperformed against BlackRock’s later offering. Despite these uncertainties, the ETF buzz has already caused Litecoin’s price to jump , with increased interest from traders and investors. If launched, Litecoin would become the third cryptocurrency to have an ETF in the US market, marking a significant milestone for the altcoin. Canary Capital’s persistent efforts could soon pay off, with just a few steps left before the SEC potentially approves the fund. If successful, this move could reshape the market for Litecoin and cement Canary’s role as a pioneer in crypto ETFs.
