SEC Loses Paperwork Again? Litecoin ETF Stuck in Bureaucratic Limbo! 🐦💸

by

The U.S. Securities and Exchange Commission (SEC) missed its October 2 deadline for deciding on Canary Capital’s Litecoin ETF, which is about as shocking as a wet week in Discworld. Investors are now left in the same state of uncertainty as a wizard trying to explain quantum physics to a cat. The SEC has also chosen not to comment on the delay, because what could possibly go wrong with adding more mystery?

Earlier this year, the SEC asked firms to switch from 19b-4 filings-which were basically the crypto version of “Here’s my homework!”-to S-1 registration statements, which sound like something you’d file if you wanted to invent a new tax bracket. Canary, being a good citizen, withdrew its 19b-4 application on September 25. One wonders if they celebrated with a tiny parade or if they just sighed and added it to the list of things the government never follows up on. 🎉

FOX News reporter Eleanor Terrett noted, “Since the generic listing standard went into effect and the agency asked issuers and partner exchanges to withdraw their 19b-4s, I’m told the deadlines technically no longer matter.” This is the bureaucratic equivalent of saying, “Yes, we’re closing the stable door after the horse has galloped off to Narnia.” Time, it seems, is now a flat circle. 🕒

Analysts say this regulatory shift makes the old deadlines less relevant-but adds enough confusion to make crypto ETF approvals feel like a game of chess where the board keeps rearranging itself. It’s like trying to build a sandcastle while the tide’s in a hurry. 🏖️

Government shutdown complicates approval

The SEC outlined in August that during a federal government shutdown, it would “not review and approve applications for registration.” This includes new financial products, rule changes, and accelerated registration statements. It’s like telling a chef not to cook during a fire drill. While the SEC continues to operate with limited staff-presumably powered by caffeine and sheer existential dread-this has slowed the review of new ETF applications. Imagine trying to solve a Rubik’s Cube blindfolded and someone keeps stealing pieces. 🧩

Litecoin market update

Litecoin is currently trading at $116.51, down 2.41% in the last 24 hours. It’s ranked #19 by market cap ($8.89 billion), which is roughly the financial clout of a small asteroid. Its 24-hour trading volume is $1.15 billion, down 13.47%, because nothing says “confidence” like watching your investment lose value while the SEC naps. 🌌

Broader crypto ETF landscape

Canary’s ETF is just one of several altcoin funds being reviewed, with proposals for Solana, XRP, Avalanche, Cardano, Chainlink, and Dogecoin all waiting in the bureaucratic queue. It’s like a zoo of digital currencies, each with a different cry for help. Meanwhile, Bitcoin and Ethereum spot ETFs have drawn over $74 billion, which is enough to buy a small country or a very expensive apology from the SEC. 🏦

Top asset managers like Fidelity, Franklin Templeton, and Bitwise have submitted updated S-1 filings for spot Solana ETFs, some featuring staking options. Analysts expect the SEC could approve some by mid-October-if they remember where they put the paperwork. It’s the crypto equivalent of waiting for a bus that’s always “just around the corner.” 🚌

The SEC’s delay highlights the challenges of crypto regulation in the U.S., where procedural changes and government shutdowns create a delightful cocktail of confusion. It’s like trying to herd cats with a broom made of paperwork. 🐱

Read More

2025-10-03 12:06