Key Points
- Bitwise Asset Management has proposed a Bitcoin-Ethereum-based spot ETF to the SEC.
- The company, a significant Bitcoin ETF issuer, aims to provide balanced exposure to Bitcoin and Ethereum.
Bitwise Asset Management, known for issuing a Bitcoin spot ETF earlier this year, has put forth a proposal for a crypto mixed-based ETF. This proposition was submitted to the Securities and Exchange Commission (SEC) following the approval and recent release of their Bitcoin ETF options.
Bitwise’s Aim for Balanced Crypto Exposure
As a prominent issuer of Bitcoin ETFs, Bitwise’s goal is to offer its clients balanced exposure and easier access to Bitcoin and Ethereum, the two largest cryptocurrencies by market capitalization.
Bitcoin and Ethereum together account for over 70% of the current crypto market capitalization, approximately $2.2 trillion. This fund would allow investors to incorporate recommended crypto into their portfolios. Both cryptos, the largest and most widely used blockchains for DeFi, are expected to be highly popular with investors.
According to CIO Matt Hougan, “Bitcoin and Ethereum aren’t competitors any more than gold and tech stocks are competitors.”
Bitwise’s Progress with Crypto-Based ETFs
Since its launch earlier this year, the Bitcoin spot ETF issued by Bitwise has seen an inflow of up to $2.1 billion for their product (BITB), making them the fourth largest issuer.
The San Francisco-based company also joined the likes of BlackRock and Fidelity in launching an Ethereum spot ETF (ETHW) on the New York Stock Exchange in July 2024. The total inflow for ETHW has now reached $390 million, trailing behind Fidelity’s Ethereum Fund (FETH) with $707 million and iShares Ethereum Trust ETF (ETHA) with $1.8 billion.