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New Crypto ETF on May 5th : Should You Buy Litecoin (LTC) Now ?
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New Crypto ETF on May 5th : Should You Buy Litecoin (LTC) Now ?

The US SEC plans to review over 70 crypto ETF applications in the coming months. This follows the historic approval of the first Bitcoin and Ethereum ETFs in 2024, paving the way for altcoins like LTC to enter the market.

Written by Gaston Cuny

Translated on May 5, 2025 at 17:08 by Sarah

Litecoin LTC logo icon symbol.
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SEC Sets Sights on Litecoin (LTC) ETF

Analysts believe that the SEC could approve “spot” ETFs backed by altcoins such as Solana, XRP, and Dogecoin in the coming weeks, with decisions as early as July 2, 2025. ETFs for SOL, DOGE, XRP, and ADA are expected in October, followed by further announcements in November and December.

The SEC is expected to rule on the Litecoin ETF from Canary Funds by May 5. Unlike other crypto ETF applications, this one has not been delayed yet. James Seyffart, an ETF analyst at Bloomberg, believes that Litecoin has a higher chance of quick approval than other assets, although a delay is still possible.

Analysts have pointed out that the approval of the Litecoin ETF could be the easiest, as its S-1 and 19b-4 forms have already been filed and accepted. Moreover, the SEC likely views Litecoin as a commodity.

Other Litecoin ETFs are currently under review, proposed by Grayscale and CoinShares. The SEC has until October to rule on these filings. According to Bloomberg experts, Litecoin has the highest approval probability, estimated at 90%.

Altcoins’ Opportunity Window

Bloomberg analysts estimate a 75% or higher chance of the SEC approving multiple spot ETFs backed by altcoins by the end of 2025. Seyffart had previously stated that new crypto ETFs would likely be introduced, with issuers testing what works. However, those that do not attract enough interest or investment will be dissolved.

With the arrival of the new SEC chairman, Paul Atkins, the landscape appears to have shifted. He mentioned that the crypto industry had been “stifled” and that the regulatory framework “urgently needed attention.”

The crypto space is closely monitoring the SEC’s anticipated decision on the Litecoin ETF, which could usher in a new era of investment in altcoins. Investors will carefully adjust their portfolios based on these regulatory developments.

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Gaston Cuny

Gaston Cuny

Gaston has been a writer for over 7 years and a passionate cryptocurrency enthusiast since 2020. He loves exploring the crypto ecosystem and is now dedicated to sharing his insights and discoveries through InvestX.

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