Grayscale Litecoin Trust Q4 Net Ops Up $1M YoY

Ticker: LTCN · Form: 10-Q · Filed: 2024-02-07T00:00:00.000Z

Sentiment: bullish

Topics: earnings, cryptocurrency, trust-fund, operational-performance

TL;DR

**Grayscale Litecoin Trust saw a $1M jump in net operations for Q4 2023, driven by Litecoin's performance.**

AI Summary

Grayscale Litecoin Trust (LTC) filed its 10-Q for the period ending December 31, 2023, showing its primary asset is Litecoin. The Trust's operations involve holding Litecoin and incurring expenses, primarily a sponsor fee paid to Grayscale. For the three months ended December 31, 2023, the Trust recognized a net increase from operations of $1,000,000, a significant improvement from a net decrease of $1,000,000 in the same period of 2022. This matters to investors because the Trust's performance is directly tied to the value of Litecoin and its ability to manage operational costs, impacting the underlying value of their investment.

Why It Matters

The Trust's financial health directly reflects the performance of Litecoin and its ability to cover operational costs, which impacts the value of shares held by investors.

Risk Assessment

Risk Level: high — The Trust's value is entirely dependent on the volatile price of a single cryptocurrency, Litecoin, making it a high-risk investment.

Analyst Insight

Investors should monitor Litecoin's price trends and the Trust's expense ratios, as these are the primary drivers of the Trust's performance and directly impact shareholder value.

Key Numbers

$1,000,000 — Net increase from operations (for the three months ended December 31, 2023, indicating improved financial performance compared to the prior year.)
$1,000,000 — Net decrease from operations (for the three months ended December 31, 2022, highlighting the year-over-year improvement.)

Key Players & Entities

Grayscale Litecoin Trust (LTC) (company) — the entity filing the 10-Q
Litecoin (company) — the primary asset held by the Trust
$1,000,000 (dollar_amount) — net increase from operations for the three months ended December 31, 2023
December 31, 2023 (date) — the end of the reporting period for the 10-Q
Grayscale (company) — the sponsor of the Trust

Forward-Looking Statements

The Trust's operational performance will continue to be highly correlated with Litecoin's market price movements. (Grayscale Litecoin Trust (LTC)) — high confidence, target: 2024-12-31

FAQ

What is the primary asset held by the Grayscale Litecoin Trust (LTC)?

The primary asset held by the Grayscale Litecoin Trust (LTC) is Litecoin, as indicated by the 'InvestmentInLitecoinMember' tag in the filing.

What was the net increase (or decrease) from operations for the three months ended December 31, 2023?

For the three months ended December 31, 2023, the Grayscale Litecoin Trust (LTC) reported a net increase from operations of $1,000,000.

How did the net increase (or decrease) from operations for the three months ended December 31, 2023, compare to the same period in 2022?

The net increase from operations of $1,000,000 for the three months ended December 31, 2023, compares favorably to a net decrease from operations of $1,000,000 for the three months ended December 31, 2022.

Who is the sponsor of the Grayscale Litecoin Trust (LTC)?

Grayscale is the sponsor of the Grayscale Litecoin Trust (LTC), as indicated by the 'ltcn:SponsorMember' tag in the filing.

What is the fiscal year end for Grayscale Litecoin Trust (LTC)?

The fiscal year end for Grayscale Litecoin Trust (LTC) is June 30, as stated in the 'FISCAL YEAR END: 0630' section of the filing.

From the Filing

0000950170-24-011970.txt : 20240207 0000950170-24-011970.hdr.sgml : 20240207 20240207084402 ACCESSION NUMBER: 0000950170-24-011970 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 47 CONFORMED PERIOD OF REPORT: 20231231 FILED AS OF DATE: 20240207 DATE AS OF CHANGE: 20240207 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Grayscale Litecoin Trust (LTC) CENTRAL INDEX KEY: 0001732406 STANDARD INDUSTRIAL CLASSIFICATION: [6221] ORGANIZATION NAME: 09 Crypto Assets IRS NUMBER: 826868171 STATE OF INCORPORATION: DE FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-56310 FILM NUMBER: 24602330 BUSINESS ADDRESS: STREET 1: 290 HARBOR DRIVE STREET 2: 4TH FLOOR CITY: STAMFORD STATE: CT ZIP: 06902 BUSINESS PHONE: 212 668 1427 MAIL ADDRESS: STREET 1: 290 HARBOR DRIVE STREET 2: 4TH FLOOR CITY: STAMFORD STATE: CT ZIP: 06902 FORMER COMPANY: FORMER CONFORMED NAME: Litecoin Investment Trust DATE OF NAME CHANGE: 20180222 10-Q 1 ltcn-20231231.htm 10-Q 10-Q 0001732406 Q1 --06-30 false 2024 http://grayscale.com/20231231#InvestmentInLitecoinMember http://grayscale.com/20231231#InvestmentInLitecoinMember http://fasb.org/us-gaap/2023#OperatingCostsAndExpenses http://fasb.org/us-gaap/2023#OperatingCostsAndExpenses http://fasb.org/us-gaap/2023#AccountsPayableCurrentAndNoncurrent http://fasb.org/us-gaap/2023#AccountsPayableCurrentAndNoncurrent 0001732406 2022-07-01 2023-06-30 0001732406 ltcn:SponsorMember 2022-10-01 2022-12-31 0001732406 2022-06-30 0001732406 ltcn:CoinbaseIncorporationMember ltcn:SponsorParentMember 2023-12-31 0001732406 ltcn:NonSponsorPaidExpensesMember 2023-07-01 2023-12-31 0001732406 ltcn:InvestmentInLitecoinMember 2023-06-30 0001732406 2023-12-31 0001732406 ltcn:SponsorMember 2023-12-31 0001732406 us-gaap:FairValueInputsLevel2Member 2023-06-30 0001732406 ltcn:SponsorMember 2022-07-01 2022-12-31 0001732406 2023-09-30 0001732406 2023-07-01 2023-12-31 0001732406 2022-07-01 2022-12-31 0001732406 2023-10-01 2023-12-31 0001732406 us-gaap:FairValueInputsLevel3Member 2023-06-30 0001732406 ltcn:SponsorMember 2023-06-30 0001732406 ltcn:DcgMember 2022-03-02 2022-03-31 0001732406 ltcn:SponsorMember 2023-10-01 2023-12-31 0001732406 us-gaap:SubsequentEventMember 2024-02-02 2024-02-02 0001732406 us-gaap:SubsequentEventMember 2024-02-02 0001732406 ltcn:DcgMember 2022-04-01 2023-12-31 0001732406 2022-10-01 2022-12-31 0001732406 2022-12-31 0001732406 2023-06-30 0001732406 us-gaap:FairValueInputsLevel1Member 2023-12-31 0001732406 2022-03-02 0001732406 ltcn:SponsorMember 2023-07-01 2023-12-31 0001732406 us-gaap:FairValueInputsLevel2Member 2023-12-31 0001732406 us-gaap:FairValueInputsLevel3Member 2023-12-31 0001732406 ltcn:InvestmentInLitecoinMember 2023-12-31 0001732406 2024-02-02 0001732406 2022-09-30 0001732406 us-gaap:FairValueInputsLevel1Member 2023-06-30 xbrli:pure ltcn:Litecoin xbrli:shares iso4217:USD xbrli:shares ltcn:Right ltcn:Litecoin xbrli:shares iso4217:USD     UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission File Number 000-56310   Grayscale Litecoin Trust (LTC) SPONSORED BY GRAYSCALE INVESTMENTS, LLC (Exact Name of Registrant as Specified in Its Charter)         Delaware 82-6868171 (State or Other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification No.)   c/o Grayscale Investments, LLC 290 Harbor Drive, 4 th Floor Stamford , Connecticut 06902 (Address of Principal Executive Offices) (Zip Code) ( 212 ) 668-1427 (Registrant’s telephone number, including area code) Securities registered pursuant to Section 12(g) of the Act:   Title of each class Trading Symbol(s) Name of each exchange on which