Litecoin Joins the ETF Race as SEC Leadership Changes Promise a More Welcoming Environment

The race for crypto ETFs in the U.S. might have a new contender, and this time, it's Litecoin (LTC). On Jan. 16, Canary Capital, a digital asset and crypto fund management firm, filed an amended S-1 form for a proposed Litecoin exchange-traded fund.

Five key takeaways on Litecoin, Solana, XRP ETF race, and SEC leadership changes

As the race for crypto exchange-traded funds in the U.S. heats up, here are five key takeaways from the latest developments:

1. Canary Capital files for Litecoin ETF: Digital asset fund Canary Capital has filed an amended S-1 form for a proposed Litecoin exchange-traded fund, signaling regulatory engagement on the application. While this doesn’t guarantee approval, it suggests ongoing discussions with the Securities and Exchange Commission.

2. Litecoin price surges over 16%: Following whispers of an advancing Litecoin ETF application, the fourth-largest crypto by market cap has seen a substantial surge. In the last 24 hours, Litecoin’s price has jumped over 16%, reaching $117.92.

3. Solana ETFs move into formal SEC review: Several major firms, including VanEck, Grayscale, 21Shares, Bitwise, and Canary Capital, filed 19b-4 forms for spot Solana ETFs as far back as November. These applications have now entered the SEC’s formal review process.

4. Bitwise, 21Shares apply for XRP ETFs: Four firms — WisdomTree, Bitwise, 21Shares, and Canary Capital — have submitted applications for spot XRP ETFs. WisdomTree’s filing is up for an SEC response on Jan. 16.

5. Gensler out, Atkins in: Outgoing SEC Chair Gary Gensler will step down on Jan. 20, as Donald Trump takes office as the 47th president of the U.S. Among Trump’s picks for the SEC is Paul Atkins, a former SEC commissioner who is expected to take a more crypto-friendly approach.