tl;dr
Institutional players like Canary Capital and Bitwise are advancing digital asset ETFs for Litecoin, HBAR, and Solana despite the U.S. government shutdown, signaling growing confidence in crypto's future. ETF approvals, market optimism, and regulatory challenges highlight a pivotal moment for digita...
**Institutional Players Push Forward with Digital Asset ETFs Amid U.S. Government Shutdown**
In a significant development for the cryptocurrency market, institutional investment firm Canary Capital has filed 8-As for Litecoin (LTC) and HBAR (Hedera) ETFs, while Bitwise has also submitted a related application for a Solana (SOL) ETF. These moves come amid the ongoing U.S. government shutdown, which has created uncertainty but not deterred momentum in the digital asset space.
**Canary Capital’s ETFs on the Horizon**
Canary Capital’s Litecoin and HBAR ETFs are expected to launch this week, though the exact timeline remains unconfirmed. Despite the government shutdown, preparations are underway, as the U.S. Securities and Exchange Commission (SEC) has limited its workforce to address emergencies, including ETF approvals. Bloomberg’s senior ETF analyst, Eric Balchunas, anticipates approvals for both funds this week.
Each ETF will carry a 0.95% management fee, slightly higher than the fees for existing spot Bitcoin ETFs. Balchunas noted that such fees are typical for newer or specialized markets, adding that competition could drive costs down if demand materializes. The proposed ticker symbols are LTCC for Litecoin and HBR for Hedera.
**Market Optimism and Predictions**
Market sentiment remains bullish. On Polymarket, traders assign an 88% probability of a Litecoin ETF approval by the end of 2025. Litecoin’s price has surged 3.15% in the last 24 hours, hitting $102.47, though it has dipped 2.3% over the past 30 days. Similarly, Hedera’s HBAR ETF has a 60–80% chance of approval by year-end, with six U.S. ETF filings now in the works, including those from Grayscale, REX-Osprey, and KraneShares.
The Nasdaq has also filed a Form 19b-4 for the HBAR fund, though the SEC delayed its review to November 8 to allow for additional assessments. Meanwhile, Hedera’s chief policy officer, Nilmini Rubit, recently participated in a high-profile event at Nasdaq, highlighting the growing convergence of traditional finance and blockchain technology.
**Bitwise Expands Solana Exposure**
Bitwise, another major player, has taken a step forward with the New York Stock Exchange’s approval of its Solana Staking ETF for NYSE Arca. While SEC approval is still required, the move underscores institutional interest in Solana’s high-performance blockchain. Bitwise CEO Hunter Horsley hinted at a “big week” for the crypto sector, as the firm seeks to bridge digital assets and traditional markets by offering staking rewards to investors.
**Challenges and Opportunities**
The government shutdown has created logistical hurdles, but the persistence of institutional players signals confidence in the long-term potential of digital assets. As ETFs for Litecoin, HBAR, and Solana inch closer to approval, the crypto market braces for a potential shift in investor access and adoption. With regulatory scrutiny ongoing, the coming weeks could mark a pivotal moment for digital asset integration into mainstream finance.
For now, the market watches closely, hopeful that these filings will pave the way for broader acceptance and innovation in the crypto space.