ETF Market Advances: Canary Capital Readies Litecoin and Hedera Products

The cryptocurrency ETF market continues its relentless expansion, with Canary Capital at the forefront. Following the filing of critical final documents, analysts report that Canary’s planned Litecoin (LTC) and Hedera (HBAR) exchange-traded funds (ETFs) are now poised for imminent launch, details permitting. These milestone products would debut with tickers LTCC and HBR respectively, and an annual fee set at a competitive 0.95%.

The ETFs, set to be among the first in the U.S. to offer direct exposure to these altcoins, await final approval from the Securities and Exchange Commission (SEC) — a process complicated by a current U.S. government shutdown. Notably, Bloomberg ETF analysts, including Eric Balchunas, have described the filings as being close to final, emphasizing “the last thing updated before go-time.” However, with regulatory offices partially closed, the timing of official approvals is uncertain.

Meanwhile, ETF competition intensifies. Tuttle Capital submitted filings for 60 new 3x-leveraged ETFs, and GraniteShares announced a suite of ETFs spanning major assets, including Bitcoin (BTC) and Ethereum (ETH). ProShares and other industry heavyweights are also filing at record rates. As of June 2025, close to 250 cryptocurrency-leveraged ETF applications are pending, highlighting institutional excitement across the sector. ETFs have grown to represent over $50 billion in U.S.-based crypto assets under management (AUM), a figure expected to rise sharply should new approvals proceed following regulatory normalization.

BitGo Expands in MENA, Securing Dubai VARA License Amid Regulatory Crackdown

BitGo, a leading provider of digital asset custody and trading infrastructure, achieved an important milestone this week by securing a broker-dealer license from Dubai’s Virtual Assets Regulatory Authority (VARA). This approval allows BitGo to deliver regulated digital asset trading and intermediated services to institutional investors across the Middle East and North Africa (MENA) region. The announcement follows closely on the heels of regulatory approval in Germany, where BitGo has expanded its European offerings under BaFin’s jurisdiction.

Ben Choy, General Manager of BitGo MENA, stated, “This approval allows us to serve institutional clients with greater scale, confidence, and integrity, while also underscoring the accelerating momentum within Dubai’s digital asset ecosystem.” Dubai has quickly become a global crypto hub, supported by progressive regulation and a rapidly growing pool of blockchain companies.

The license award comes at a time of intensified enforcement in the region: VARA took action against 19 companies in 2025 alone for unlicensed crypto activities and violations of marketing regulations, including high-profile cases against the TON DLT Foundation and Hokk Finance. The crackdown aims to raise standards, protect investors, and encourage legitimate growth as the sector matures. In this context, BitGo’s regulatory success positions the company as a trusted institutional partner in both Europe and the Middle East, catering to a growing demand for compliant crypto infrastructure from banks, hedge funds, and asset managers globally.

Wall Street Takes Notice: ICE Invests $2 Billion in Polymarket

In perhaps the most telling sign of crypto’s growing influence on traditional finance, the Intercontinental Exchange (ICE) — parent company of the New York Stock Exchange (NYSE) — finalized a landmark $2 billion investment into blockchain-based prediction market Polymarket. The move values Polymarket at $9 billion post-money, signaling major Wall Street interest in decentralized finance (DeFi) applications beyond spot trading and custody.

Polymarket is a decentralized platform where users stake stablecoins to trade on the likely outcomes of real-world events such as elections, economic policy changes, or even cryptocurrency price movements. The platform uses smart contracts on blockchain to ensure transparency and minimize manipulation, with all market outcomes resolved via predefined, independently-verifiable sources. Due to regulatory constraints, U.S. retail participation is currently limited, but institutional and international adoption is rapidly expanding.

ICE’s aggressive bet suggests traditional finance’s appetite for blockchain-enabled derivatives and prediction tools is growing. The NYSE’s parent firm manages a portfolio of exchanges with a total market cap exceeding $25 trillion as of mid-2024 — its foray into DeFi underscores the increasing overlap between traditional and crypto financial ecosystems. Industry observers note that such deals could spark further cross-sector investment, as both sides aim to capture the fast-evolving markets for digital risk mitigation, event-based trading, and decentralized financial infrastructure.

Market Update: Crypto Prices and Broader Impact

Major cryptocurrencies started the week strongly, with Bitcoin surging past $122,000 (+1.06%), Ethereum above $4,500 (+4.18%), and other top assets such as XRP ($2.87, +3.41%) and Binance Coin ($1,312.72, +1.45%) posting notable gains. Solana, Dogecoin, Cardano, and Avalanche were also among the day’s top performers, outpacing broader global equity indices and showing resilience amidst uncertain macroeconomic conditions.

Behind the surging prices is increased optimism about mainstream adoption — driven by ETF anticipation, regulatory clarity in key markets, and consistent institutional inflows. According to recent data from CoinShares, weekly digital asset inflows have crossed $1.3 billion, with Bitcoin and Ethereum continuing to attract the bulk of allocations as investors view them as alternatives to gold and tech stocks for portfolio diversification.

Outlook: Global Crypto Integration and Regulatory Trends

The convergence of traditional financial giants, global regulators, and decentralized innovators is rapidly reshaping the cryptocurrency industry. On the one hand, ETF approvals and institutional investments signal maturation and recognition of digital assets as viable components in diversified portfolios. On the other, a tightening regulatory environment, especially in the U.S., Europe, and advanced Asian economies, is raising barriers for non-compliant projects while providing a clearer roadmap for institutional market entry.

Dubai’s ascent as a leading regulatory hub for cryptocurrencies parallels similar shifts in Singapore, Hong Kong, and the EU by offering clear, progressive rulebooks that attract global players. Meanwhile, products like Polymarket reveal the burgeoning appetite for new DeFi primitives — tools that democratize participation in financial markets with transparency and security powered by blockchain technology.

As 2025 unfolds, industry stakeholders will be monitoring government actions related to ETF approvals, ongoing enforcement waves, and further institutional adoption. While short-term volatility will remain a feature of crypto markets, the broader trend line points to increasing integration between digital assets and the world’s financial mainstream — with both challenges and opportunities ahead.