Grayscale Anticipates Litecoin ETF Launch by October; LTCN Offered at 6% Discount
At the Litecoin Summit 2025 in Las Vegas, the potential approval of a Litecoin exchange-traded fund (ETF) was a prominent topic of discussion, as industry leaders gathered to discuss the future of one of the earliest digital assets in the industry.
During a panel moderated by James Seyffart of Bloomberg Intelligence, the subject of ETFs was explored, with Grayscale's John Hoffman offering a notable opinion on the strong likelihood of Litecoin ETF approval by October 2025. According to Hoffman, the statutory calendar for Litecoin's ETF, LTCN, which was filed on February 10, 2025, points to an October 10 deadline.
While acknowledging some initial delays, Hoffman expressed confidence that the October 10th timeline is highly probable. This sentiment was echoed by fellow panelists Bruno Caratori of Hashdex and Steven McClurg of Canary Capital, both of whom highlighted Hoffman's influence and Grayscale's continued leadership in the crypto ETF race. McClurg, in particular, revealed that he is a significant holder of Grayscale's multi-token product, GDLC.
The LTCN, launched by Grayscale in August 2020, currently manages around $200 million and trades at a 6% discount to net asset value. According to Hoffman, this discount presents a compelling arbitrage opportunity if the ETF is approved and will likely vanish post-approval. If approved, investors would capture this discount, as ETFs trade near intrinsic value.
Beyond LTCN, Hoffman outlined a broader strategy focusing on diversified exposure through products like GDLC. GDLC, which holds five tokens, has recently seen a sharp reduction in its discount, indicating growing optimism.
When asked about the appeal of Litecoin as an ETF candidate, Hoffman highlighted its position as "digital silver" due to its unique return pattern compared to Bitcoin and Ethereum. He estimated potential inflows of between $400 million and $500 million, based on Litecoin's current market cap of around $7.5 billion and a 5% institutional allocation benchmark.
In terms of regulatory winds, Hoffman noted a shift in SEC engagement, describing it as moving from "unfriendly but highly predictable" to "less predictable but highly certain." This change, coupled with productive recent interactions around Ethereum staking conversations, suggests a more open approach from the SEC.
Seyffart concluded the discussion by noting that over 80 ETF filings are currently in the pipeline, with Litecoin standing out due to its regulatory appeal.
If the October 10th deadline leads to approval, as Hoffman believes likely, investors holding LTCN today might find themselves ahead of the curve. In a sector often marked by speculation, the 2025 Litecoin Summit offered a dose of clarity, hinting that Litecoin's moment in the ETF spotlight might be imminent.
- John Hoffman, during the Litecoin Summit 2025 discussion, expressed confidence that the Litecoin exchange-traded fund (ETF), LTCN, would be approved by October 10, 2025, due to the statutory calendar.
- Grayscale's John Hoffman noted at the Litecoin Summit 2025 that Litecoin's unique return pattern compared to Bitcoin and Ethereum gives it regulatory appeal as an ETF candidate.
- If the LTCN ETF is approved by October 10, 2025, as expected by John Hoffman, investors holding LTCN today might benefit from capturing the current 6% discount, as ETFs trade near intrinsic value.
