The U.S. SEC has pushed back its decision on Grayscale’s plan to launch a Spot Litecoin ETF on NYSE Arca.
The proposal, which aims to list shares of the Grayscale Litecoin Trust (LTC), is still under review. Instead of giving a green light or a denial, the SEC has opened proceedings to dig deeper and is now inviting public comments.
Grayscale’s pitch is pretty straightforward: give people a way to invest in Litecoin without needing to actually hold the crypto. Instead of dealing with wallets or private keys, investors would buy shares in a trust that tracks Litecoin’s price. That price is based on the CoinDesk Litecoin Index (LTX), which pulls data from several major trading platforms.
That price is tracked using the CoinDesk Litecoin Price Index, which pulls data from a bunch of major crypto exchanges. That index pulls data from multiple crypto trading platforms and publishes a daily price at 4:00 p.m. ET, which would be used to value the trust, minus fees and other costs.
As for the market, not much changed after the news. Litecoin is currently priced at $103.29, up 1.46% in the last 24 hours. It’s sitting at #23 by market cap, now at $7.83 billion, although 24-hour trading volume dropped 15.89%, down to $753.75 million.
This isn’t a surprise — the SEC has been cautious with all spot crypto ETFs so far. Now, it’s waiting to hear what the public thinks before making the next move.
Also Read: SEC Delays BlackRock Bitcoin ETF Decision Amid Public Feedback
