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Asset manager Canary Capital has officially filed an S-1 registration form with the U.S. Securities and Exchange Commission (SEC), less than a week after filing for an XRP-based ETF. The plan is to launch a spot exchange-traded fund (ETF) that directly holds Litecoin (LTC), which is derived from Bitcoin.
Litecoin joins XRP in ETF race
Canary Capital seems to want to be a leader, not a follower, in the world of crypto exchange-traded funds. The company filed a registration statement for a Litecoin ETF with the Securities and Exchange Commission on Tuesday.
According to Canary Capital, this ETF product helps traditional investors avoid the complexities of buying and holding LTC directly. This typically involves creating digital wallets, protecting private keys, and operating digital asset exchanges.
Canary’s proposed ETF aims to own Spotlight Coin and will closely track the performance of the CoinDesk Litecoin Price Index (LTX), the filing states. The cryptocurrency investment firm said it believes Litecoin, a blockchain project copied from Bitcoin’s code, offers a unique opportunity for investors seeking exposure to OG altcoins.
“As one of the longest-running blockchains with 100% uptime since its inception, Litecoin has a proven track record of security and reliability in critical enterprise-grade use cases,” Canary Capital said in a statement.
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James Seifert, a senior ETF analyst at Bloomberg, noted in a post on
Canary will also apply for XRP ETF
Canary’s latest SEC filing is part of a broader movement among asset managers to offer crypto-based ETFs. Earlier this year, the SEC gave the green light to Bitcoin (BTC) and Ether ETFs, resulting in significant investor interest.
On October 9th, Canary Capital filed for S-1 for its proposed Spot XRP ETF. Sponsorship fees and potential fund ticker symbols have not yet been announced in either filing from the company.
Canary Capital’s XRP application comes just days after crypto fund issuer Bitwise filed its own XRP ETF application with the Securities and Exchange Commission.
However, it remains unclear whether securities regulators will approve XRP funds. Ripple recently filed a cross-appeal against its long-standing lawsuit against the SEC, aiming to strengthen its legal defense as the company’s own appeals are argued in the Court of Appeals.
