Canary Capitals Spot Litecoin ETF Appears On DTCC Website, Crypto Market Guzzling With Expected Approval
Canary Capitals spot Litecoin exchange-traded fund has made an appearance on a list maintained by the Depository Trust and Clearing Corporation (DTCC).
The DTCC is an important part of global financial markets and processes trillions of securities transactions each day, as detailed by the Litecoin Foundation, which added, Its a key preparatory step for the funds potential launch.
While still awaiting approval from the U.S. Securities and Exchange Commission, the DTCC listed Canary Capitals LTC fund under the ticker LTCC. A green light by the SEC would make Litecoin the first crypto beyond Bitcoin and Ethereum to secure a spot ETF in the United States.
Canary Capital submitted its spot LTC filing in October 2024, followed by similar applications from companies including Grayscale and Coinshares. Canarys application is expected to be the first to secure a decision from the Securities and Exchange Commission.
Doesnt mean its approved or ready to start trading, but it does show the issuer is making preparations for when it is, Bloomberg senior ETF analyst Eric Balchunas wrote in an X post.
The SEC has a period of 45 days, which could be extended to 90 days, from the date of publication of the 19b-4 proposal in the Federal Register to decide whether to approve or deny the proposed rule change. Notably, the proposed rule change for the Canary Litecoin ETF was published in the Federal Register on Feb. 4, bringing it one step closer to becoming a reality.
LTC prices jumped circa 7% following the DTCC listing, climbing from an intraday low of $126.5 to $138.52 before retracing slightly to $135 as of publication time, according to data from CoinGecko.
LTC Approval Odds Remain At 90%
In a detailed Feb. 21 post on X, Santiment observed that Litecoins market capitalization spiked by 45% from Feb. 2 to 19, signaling increased investor demand.
Whats more, the Litecoin network has witnessed a strong rise in network utility. In particular, daily transactions on the Litecoin network have hit $9.6 billion per day.
Whats driving this? ETF hype. There is clear growing excitement around a potential Litecoin ETF, 13 months after Bitcoins first ETFs were approved by the SEC, Santiment wrote.
Besides the Canary ETF, the Securities and Exchange Commission also recently acknowledged a proposal to list the CoinShares Litecoin fund on the Nasdaq.
Meanwhile, Bloombergs Balchunas maintains that the odds for a spot LTC ETF securing approval this year were still at 90%.
Text source: ZyCrypto
