The crypto investment firm Canary Capital has filed an S-1 application with the SEC to register a spot Litecoin ETF.
The custodian and administrator of the product have not been specified.
“Litecoin plays a leading role in the broader cryptocurrency ecosystem […] and is attractive to a wider range of institutional investors,” the document states.
Bloomberg analyst James Seyffart, in a comment for The Block, noted the similarities between LTC and Bitcoin in terms of oversight.
“For approval under the current U.S. administration, there must be a large and liquid futures market that is federally regulated. Litecoin currently does not meet this requirement. It is largely a bet on a potential victory by [Republican candidate Donald] Trump and a change in SEC leadership,” he clarified.
Previously, the firm filed a similar application for an exchange-traded fund based on XRP.
In October, a similar initiative was proposed by digital asset manager Bitwise, and a month earlier by Grayscale Investments.