Bloomberg Analyst Says Litecoin ETF Could Get Early Approval, but Delay Remains More Likely

Highlights:

• James Seyffart said Canary Capital’s Litecoin ETF application might face further delays.
• The Bloomberg analyst said Litecoin ETF still possesses early approval chances.
• The SEC has postponed its decision on several ETF applications to June, diminishing hopes of any approval this month.

Bloomberg analyst James Seyffart has revealed that Canary Capital’s Litecoin (LTC) ETF approval by the US Securities and Exchange Commission (SEC) might face further delay. The analyst noted that while he strongly believes that Litecoin ETF boasts early approval chances, another delay seems more likely.

The Bloomberg analyst stated:

“The SEC went early and delayed many filings, but not this. If any asset has a chance of early approval, it’s Litecoin. I think a delay is more likely, but definitely something to watch.”

Bloomberg analyst James Seyffart noted that the SEC is expected to decide on Canary Funds’ proposed Litecoin ETF by May 5. While the SEC has already delayed several filings early, this one was not included. Seyffart believes Litecoin may have a chance at early approval, though he…

— Wu Blockchain (@WuBlockchain) May 4, 2025

SEC Postpones its Decisions on Several ETF Filings

The regulatory watchdog recently extended its final ruling on Franklin Templeton’s XRP ETF to June 17, 2025. Around late April, the SEC postponed its decision on Polkadot (DOT) and Hedera (HBAR) ETFs to June 11, 2025. Similarly, the regulatory commission also moved Grayscale’s Ethereum ETFs staking proposal from an earlier date to June 1.

Other postponed decisions include 21Shares, Bitwise, and Canary Capital applications for Solana (SOL) ETFs. In an old publication, Crypto2Community reported that the SEC set May as the new deadline for its final decision on Cboe BZX’s spot Solana ETF and Grayscale’s XRP ETF. In addition, the SEC moved Canary Capital’s spot Cardano (ADA) ETF filing final decision to May 29.

These postponements invariably imply that market participants should anticipate potential ETF approvals in June. However, Seyffart said in an older tweet that most approvals will come around October 2025 or beyond. Meanwhile, Paul Atkins’s influence as a pro-crypto instigator could hasten ETF approvals.

 

🚨BREAKING: SEC DELAYS DECISION ON FRANKLIN TEMPLETON’S SPOT XRP ETF — NEW DEADLINE JUNE 17 🧨👀

The U.S. Securities and Exchange Commission (SEC) has officially pushed its decision on the Franklin Templeton XRP Spot ETF to June 17, 2025, per a new filing published today. The… pic.twitter.com/inWewJeQVB

— Diana (@InvestWithD) April 29, 2025

Litecoin ETF Approval Stalls Despite Earlier 19b-4 Acknowledgement by the SEC

On January 29, the SEC publicized a new filing acknowledging Canary Capital’s Litecoin ETF 19b-4 proposal from Nasdaq. The SEC also noted that it was open for public comment on the ETF. In its filing, the regulatory commission said it will allow a 21-day window for public opinions on the ETF application.

Meanwhile, Eric Balchunas a renowned ETF analyst, reacted to the SEC’s Litecoin ETF acknowledgement filing. He said it was the first among several altcoins’ proposals to receive the regulatory agency’s endorsement.

Balchunas stated:

“Throw in the comments from SEC on the S-1, and this filing is by far the furthest along checking all the boxes.”

On January 15, Nasdaq presented a rule of change to trade Canary Litecoin ETF shares under Nasdaq’s guidelines to the SEC. The SEC published this application with the Federal Register on February 4. Meanwhile, section 19(b)(2) of the SEC’s Act provides that the commission has a 45-day window to publicize its decision on the ETF. The act also made provision for further extension by another 45 days if the commission deems such worthy.

The SEC says is extending the period to make a decision on Canary's Litecoin ETF from March 21st by 45 days. pic.twitter.com/ARU0GHu78d

— Litecoin Foundation ⚡️ (@LTCFoundation) March 12, 2025

The 45th day after the publication of Canary Capital’s filing with the Federal Register was March 21. However, the SEC opted for an additional 45 days, citing that it needs more time to evaluate the application. Hence, May 5 became the new deadline, which could stall further, according to Seyffart’s recent tweet.