Two new spot cryptocurrency ETFs – one for Hedera (HBAR) and one for Litecoin (LTC) – are set to begin trading on the Nasdaq on October 29, 2025. The announcement comes despite the ongoing U.S. government shutdown, which many believed would delay or prevent such regulatory processes.
ETF Launch Enabled by Existing SEC Rules
The approvals were made possible through existing legal procedures that do not require active intervention from the U.S. Securities and Exchange Commission (SEC) during a shutdown. Specifically, the ETF issuers included language in their S-1 filings allowing the applications to automatically go effective 20 days after submission. This method avoids the need for formal SEC approval if no delaying amendments are added.
In addition, the required 8-A forms – which formally register the ETFs for exchange trading under the Securities Exchange Act of 1934 – were certified by the NYSE, completing the final step for the listings. These filings allow the ETFs to begin trading even without an active SEC review process, provided all other legal requirements are met.
Read also: Government Shutdown Delays Crypto ETF Green Light
HBAR Reacts Strongly, LTC Sees Modest Gains
Following the news, Hedera’s native token HBAR saw a price increase of over 17%, reaching approximately $0.21 and lifting its market capitalization close to $9 billion. It became the best-performing asset among the top 100 cryptocurrencies for the day.
Litecoin also experienced a smaller price reaction, gaining around 2.5%. While the market response was less dramatic than for HBAR, the launch still marks an important milestone for Litecoin, adding another regulated investment vehicle for the asset.
Product Details and Custodianship
The Hedera ETF, trading under the ticker HBR, and the Litecoin ETF will both be offered by Canary Capital. The ETFs will provide direct spot exposure to their respective tokens, allowing investors to access these digital assets through traditional brokerage accounts.
According to Canary, the HBAR tokens will be held in custody by BitGo and Coinbase Custody. CoinDesk Indices will be responsible for providing official price tracking for the ETF.
Regulatory Background
The ETF launches follow the SEC’s adoption of new listing standards in September that make it easier for exchanges to list spot commodity-based ETFs. These changes reduced the time and complexity involved in bringing new crypto ETFs to market.
The government shutdown did not affect the launch because the process relied on previously filed documentation, including the 8-A and S-1 forms. Under federal securities law, if no SEC staff member acts within the 20-day window, and the issuer has not withdrawn or amended the filing, the S-1 becomes automatically effective.
