The cryptocurrency market is poised for new developments as CoinShares has submitted applications for exchange-traded funds (ETFs) for XRP and Litecoin. This move could significantly impact the accessibility of crypto investments in the United States.
XRP and Litecoin ETFs Proposed by CoinShares
CoinShares officially filed an S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) to launch ETFs focused on XRP and Litecoin. This comes amidst increasing attention on cryptocurrency investment products in the U.S., especially following the recent approval of physical Bitcoin ETFs.
Grayscale Joins the Race With Litecoin ETF Plans
Grayscale has also filed with the SEC to convert its Grayscale Litecoin Trust (GLTC) into an ETF. This application is akin to previous attempts to convert other Grayscale products into ETFs, including the Grayscale Solana Trust (GSOL). Consequently, Grayscale and CoinShares become the second and third managers to seek a Litecoin ETF following Canary Capital's filing last year.
Community Reaction to Proposed Litecoin ETF
The new developments have sparked some debate within the crypto community. Market analyst Ali expressed doubt about the necessity of a Litecoin ETF, stating, 'A #Litecoin ETF for a coin that has not moved from the price it was in 2017?'
The filings by CoinShares and Grayscale to create ETFs for cryptocurrencies demonstrate the growing interest in adapting crypto-assets within traditional investment products. The future development of these initiatives is expected to attract attention from both investors and regulators.
