Following the successful debut of Bitcoin (BTC) and Ethereum (ETH) spot ETFs in 2024, the crypto community is now discussing which altcoin will form the basis of the next similar product.

Litecoin (LTC) has the best chance of getting US SEC approval, at 90%, according to Bloomberg ETF analyst James Seyfarth.

In his opinion, this is due to Litecoin's unique position in the regulatory system. LTC is not involved in any lawsuit in which it would be called a security.

To obtain approval, a green light is needed from the SEC's Division of Trading and Markets and Division of Corporate Finance.

It is noteworthy that in recent weeks, applications for Litecoin and HBAR have shown some progress, which, however, may be a result of the issuers’ strategy.

Dogecoin and HBAR also seem to have a good chance of being approved. Other popular altcoins like Solana , XRP , Cardano , and Polkadot remain in limbo.

The main question, the expert says, is whether the SEC will treat these digital assets as securities. If so, that would make it difficult to list them in a commodity-based ETF structure.