Grayscale Advances Litecoin ETF Conversion, but SEC Hurdle Remains

Grayscale filed an amended S-3 to convert its OTC-traded Litecoin Trust (LTCN) into the Grayscale Litecoin Trust ETF on NYSE Arca. The proposed ETF would track Litecoin using the CoinDesk Litecoin Benchmark Rate, with Coinbase Custody holding assets and BNY Mellon providing administration. However, conversion remains contingent on SEC approval of NYSE Arca’s outstanding 19b-4 application. The trust had $82.3 million in net assets as of June 30, 2026, down 53% year over year, largely reflecting Litecoin’s price decline.