Canary Capital has filed amended applications for its proposed spot Litecoin (LTCC) and Hedera (HBR) ETFs, signaling that both products may be close to approval despite the ongoing U.S. government shutdown.
According to Oct. 7 filings, the firm submitted updated S-1 forms revealing the ETFs’ tickers—LTCC for the Litecoin fund and HBR for the Hedera fund. Each carries a 0.95% sponsor fee, higher than the 0.2%–0.5% range typical of spot Bitcoin ETFs but standard for emerging digital asset products.
ETF Structure and Custody
Both funds will hold the underlying tokens directly, with custody provided by regulated entities such as BitGo and Coinbase. Daily net asset values will be calculated using aggregated pricing data from multiple exchanges around 4 p.m. ET.
The filings come shortly after the Securities and Exchange Commission missed its initial decision deadline for the Litecoin ETF, a delay attributed to limited operations during the government shutdown. Despite this setback, the amended applications suggest Canary is finalizing preparations for potential approval once the SEC resumes normal activity.
Analysts Expect Approvals Soon
Bloomberg ETF analyst Eric Balchunas called the updates “the last thing updated before go-time,” noting that while the 0.95% fee is steep compared to Bitcoin ETFs, it’s typical for pioneering funds. His colleague James Seyffart added that both ETFs are now “at the goal line—victory in sight.”
Canary’s proposed HBAR ETF stems from an initial filing in November 2024, following the launch of a private HBAR trust for accredited investors a month earlier. A similar trajectory unfolded for the Litecoin ETF, which entered the SEC’s review cycle in early 2025. Nasdaq has already submitted corresponding 19b-4 forms to list both funds, signaling strong institutional preparedness.
Market analysts view the two ETFs as leading contenders among altcoin-based products, pointing to Litecoin’s established commodity status and Hedera’s regulatory transparency as key advantages. Once the SEC resumes normal operations, approval odds are estimated to exceed 90%.
Expanding the ETF Landscape
Canary Capital is positioning itself as a pioneer in the post-Bitcoin ETF era, with additional spot ETF applications in progress for XRP and Solana. Marketwide, more than 90 crypto ETF proposals remain pending amid the SEC’s operational slowdown caused by the government shutdown.
If approved, the Litecoin and HBAR ETFs could usher in the next wave of institutional crypto investment—broadening exposure beyond Bitcoin and Ethereum while solidifying Canary’s position as a frontrunner in the emerging altcoin ETF market.
