Grayscale Eyes BCH & HBAR ETFs Amid Regulatory Race

Grayscale Expands ETF Ambitions

Grayscale Investments has submitted filings to the U.S. Securities and Exchange Commission (SEC) for three new crypto exchange-traded funds (ETFs). The move signals a continued push to broaden its investment product offerings as competition intensifies for regulatory approval.

On Tuesday, Grayscale filed an S-1 registration for a Litecoin (LTC) ETF. This follows a previous attempt to convert the Grayscale Litecoin Trust into an ETF.

Concurrently, the asset manager submitted S-3 filings for ETFs linked to Bitcoin Cash (BCH) and Hedera (HBAR). These potential products would expand Grayscale's existing range, which includes spot Bitcoin and Ether ETFs launched in the previous year.

The ETF Approval Race Heats Up

These filings highlight Grayscale's commitment to diversifying its crypto investment options as regulators assess the future of these funds. This action comes just a day after they aimed to turn their Chainlink (LINK) Trust into an ETF.

Other firms, including Fidelity and VanEck, have also proposed digital asset funds, hoping the SEC will approve more products later this year. Industry experts believe broader approval could facilitate mainstream investors' entry into cryptocurrencies through regulated markets, addressing custody and transparency concerns.

Regulatory Hurdles Remain

The SEC, under Chair Paul Atkins, has recently delayed decisions on various crypto ETF applications. Regulatory approval would allow investors to trade crypto exposure alongside traditional securities within brokerage accounts.

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