Analysis: Litecoin ETF may attract up to 5.8 billion US dollars in funds

PANews January 17th news, CoinDesk reported that if the market acceptance of Litecoin ETF is similar to BTCETF, the first year's capital inflow may reach 290 million to 580 million US dollars, accounting for about 6% of LTC's market value (9.6 billion US dollars). This proportion is comparable to the current supply locked in BTCETF. Canary Capital is actively promoting LTC ETF, and its submitted 19b-4 document has put SEC into the review process. Analysts believe that the proof-of-work mechanism similar to BTC may increase the chances of LTC being seen as a commodity. Although the fund size of LTC ETF may not be as large as BTC or Ethereum ETF, it is expected to outperform most US ETFs (only 1,330 ETFs manage assets over 300 million dollars). The analysis points out that market demand is still a key variable, but even if the demand is relatively low, LTC ETF may still succeed in the crypto field.