Monitor for SEC approval of the NYSE Arca 19b-4 application, which is the key catalyst for the ETF conversion and potential NAV discount closure. The trust's current 8% discount to NAV could narrow or close upon approval, but the lack of in-kind creation/redemption capability and the SEC's pending decision introduce significant uncertainty.
Price Chart
Executive Summary
Grayscale Litecoin Trust (LTC) filed Amendment No. 1 to its S-3 shelf registration statement, seeking to register an indeterminate number of shares for continuous issuance as it pursues an uplisting to NYSE Arca as an ETF. The filing is contingent on SEC approval of NYSE Arca's 19b-4 application, which has not yet been granted. The trust currently trades at an 8% discount to NAV as of September 9, 2026, and the sponsor expects the arbitrage mechanism from the ETF conversion to close this discount, though the lack of in-kind creation/redemption approval introduces execution risk.
Key Facts
- The S-3/A registers an indeterminate number of shares for continuous issuance, contingent on SEC approval of NYSE Arca's 19b-4 application to list the trust as an ETF.
- As of September 9, 2026, the trust's shares traded at $4.01 on OTCQX, an 8% discount to NAV per share.
- The trust's Principal Market NAV was $82,306,589 as of June 30, 2026, with NAV per share of $3.39.
- The trust currently only accepts cash orders for creations/redemptions; in-kind transactions require additional regulatory approval that has not been obtained.
- The sponsor intends to rename the trust to Grayscale Litecoin Trust ETF upon effectiveness of the registration statement and NYSE Arca listing.
- The 19b-4 application was filed on January 24, 2025, and has not yet been approved by the SEC.
- The trust had $82,283,116 in NAV as of June 30, 2026, with approximately 24.3 million shares outstanding.
Financial Impact
No offering size or pricing disclosed; registration is for an indeterminate number of shares. The trust's NAV was $82.3M as of June 30, 2026.
Risk Factors
- SEC may not approve the 19b-4 application, preventing the ETF conversion and NYSE Arca listing.
- The trust's inability to facilitate in-kind creations/redemptions may impair the arbitrage mechanism, causing persistent NAV discounts.
- The trust's tax treatment as a grantor trust is uncertain, and adverse IRS determinations could materially reduce after-tax returns.
- Litecoin price volatility and regulatory uncertainty around digital assets could adversely impact the trust's value.
- Concentration risk from a single large shareholder could impede market development or cause price volatility.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| S-3/A Filing (Primary) | 0001193125-26-389256 |
| Document: ltcn-ex23_1.htm | 0001193125-26-389256 |
| Document: ltcn-ex23_2.htm | 0001193125-26-389256 |
| Document: 0001193125-26-389256-index-headers.html | 0001193125-26-389256 |
| Document: 0001193125-26-389256-index.html | 0001193125-26-389256 |
| Document: 0001193125-26-389256.txt | 0001193125-26-389256 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 11, 2026 6w ago | S-3/A | $4.05 $4.82 | ▲ +18.89% | ▲ +16.37% | $4.13 (+1.90%) |
May 22, 2026 22w ago | 8-K | $3.94 $3.31 | ▼ −15.91% | ▼ −14.50% | $4.13 (+4.75%) |
US Market Status
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