Grayscale Files for Hedera, Litecoin, and Bitcoin Cash ETFs

Famous asset manager and ETF issuer Grayscale has filed with the U.S. Securities and Exchange Commission (SEC) to convert its Grayscale Bitcoin Cash (BCH) trust and Grayscale Litecoin (LTC) Trust into publicly listed exchange-traded funds (ETFs). It has also filed to list a new Grayscale Hedera (HBAR) Trust ETF.

Notably, the U.S. financial agency has remained indecisive with the tens of ETF applications on its desk for over a year. However, this has not diminished Grayscale’s enthusiasm for facilitating crypto investment for traditional investors.

Hedera, Litecoin, and Bitcoin Cash ETFs

Based on data from CoinMarketCap, Hedera ranks 18th on the list of the world’s top cryptocurrencies, with a market capitalization of over $9.7 billion. Litecoin ranks 21st with a market cap of over $8.5 billion, while Bitcoin Cash maintains a market cap above $11.5 billion, ranking 16th on the list.

Remarkably, if the SEC approves Grayscale’s filings, it will provide investors interested in acquiring these crypto assets with a significant opportunity. Instead of managing a decentralized or centralized crypto wallet address, these maximalists would obtain the corresponding investment funds on the NYSE Arca, while Grayscale manages the acquired ETF shares with competitive fees.

According to a July 2025 update, the SEC has allowed in-kind creation and redemption for crypto ETFs. Consequently, Grayscale has allowed NYSE Arca to determine when to seek the necessary regulatory approval, enabling investors to create and redeem shares in-kind in exchange for the intended ETFs.

Meanwhile, a day earlier, Grayscale had also filed with the SEC to convert its Chainlink Trust into a spot ETF. It plans to list the ETF on the NYSE Arca with the symbol GLNK.

Is Approval En Route?

Following the approval of bitcoin and ether ETFs in 2024, asset managers have flooded the SEC’s desk with numerous ETF applications. The financial agency has delayed many of these filings. Hence, many intending issuers have paused handing in their applications, awaiting the SEC’s decision on already-submitted proposals.

Concurrently, the Chicago Board Options Exchange (Cboe) and NYSE Arca have filed with the SEC to adjust the crypto ETF listing process, allowing issuers to list crypto assets that meet predefined requirements as ETFs without seeking specific approval for each intended product. If the SEC approves these exchanges’ filings, the U.S. market is expected to welcome more crypto ETFs within a short period.