Grayscale Litecoin Trust

What they do

The Trust was formed on January 26, 2018 and passively holds Litecoin; its objective is for the value of the Shares (based on LTC per Share) to reflect the value of the LTC held, determined by reference to the Index Price, less expenses and liabilities. Shares are issued in 100-Share Baskets to Authorized Participants in exchange for LTC deposits and are quoted on OTC Markets' OTCQX under ticker LTCN; each Share represented approximately 0.0812 LTC as of June 30, 2026. The Sponsor is Grayscale Investments Sponsors, LLC (a consolidated subsidiary of Digital Currency Group, Inc.), the trustee is CSC Delaware Trust Company, and Coinbase Custody Trust Company, LLC is the custodian.

Revenue drivers

• LTC price exposure on Trust holdings — Net results are driven by the change in fair value of the LTC held, recorded as net change in unrealized appreciation or depreciation on investments; the Trust is passive and does not use leverage, derivatives or similar arrangements.
• Creation Basket issuances — The Trust periodically issues 100-Share Baskets to Authorized Participants in exchange for LTC deposits, which increases Trust assets; at this time there is no redemption program and Shares are not redeemable by the Trust.
• Sponsor's Fee paid in LTC — The Trust pays the Sponsor's Fee in LTC; realized gains and losses are recognized in connection with transactions including settling obligations for the Sponsor's Fee in LTC, using the specific identification method.

Recent performance

Annual net income (loss) per the XBRL data was -$144.3M in 2022, $79.3M in 2023, -$52.3M in 2024, $19.4M in 2025, and -$93.6M in 2026. At June 30, 2026, total assets were $82.3M and total liabilities were $0.00. The filings state that to date the Trust has not met its investment objective and the Shares have traded at both premiums and discounts to the value of the LTC held, less expenses and liabilities, at times substantial. As of June 30, 2026, each Share represented approximately 0.0812 LTC.

Strategy

In September 2025 the Trust filed a registration statement on Form S-3 for a proposed public offering of its shares and related listing on NYSE Arca, Inc. As of the 10-K filing date the Form S-3 had not been declared effective, and shares continue to be offered only through private placements and traded on OTC Markets. The Trust remains a passive vehicle that holds LTC and issues Creation Baskets in exchange for LTC deposits. Prior to October 1, 2025, the Trust valued LTC by reference to the CoinDesk Litecoin Price Index (LTX); as of October 1, 2025, the Index used to calculate NAV and NAV per Share is the CoinDesk Litecoin Benchmark Rate. There can be no assurance the SEC will declare the registration statement effective or that NYSE Arca will approve the listing.

Risks

• Premium/discount to NAV — The Trust states it has not met its investment objective and Shares have traded at both premiums and discounts to the value of the LTC held, less expenses and liabilities, which at times have been substantial.
• No redemption program — The Sponsor is not operating a redemption program, so Shares are not redeemable by the Trust, which can allow market prices to diverge from the underlying LTC value.
• NYSE Arca listing not assured — The Form S-3 filed in September 2025 has not been declared effective, and there can be no assurance the SEC will declare it effective or that NYSE Arca will approve the listing or that an active trading market will develop and be sustained.
• Concentration in LTC price — The Trust holds Litecoin and its results are driven by changes in LTC fair value, with annual net income swinging from -$144.3M (2022) to $79.3M (2023), -$52.3M (2024), $19.4M (2025) and -$93.6M (2026).

Outlook

The filings describe the Trust as a passive entity whose objective is for the Shares (based on LTC per Share) to reflect the value of the LTC held, determined by reference to the Index Price, less expenses and other liabilities, and they state that to date it has not met that objective. The Trust has a pending Form S-3, filed September 2025, for a proposed public offering and NYSE Arca listing, but as of the 10-K filing date it has not been declared effective. No assurance is given that the registration will become effective, that NYSE Arca will approve the listing, or that an active trading market on NYSE Arca will develop and be sustained.