Bitwise’s Bitcoin and Ethereum ETF clears first SEC hurdle

Key Points

  • The US Securities and Exchange Commission has given initial approval to Bitwise Asset Management’s ETF tracking Bitcoin and Ethereum.
  • The ETF, named "Bitwise Bitcoin and Ethereum ETF," will track the spot prices of Bitcoin and Ether, weighted by their market capitalizations.
  • Bitwise still needs SEC approval for a Form S-1 to start trading.
  • This approval follows similar ETFs from Hashdex and Franklin Templeton, marking a trend towards crypto-friendly regulations.
  • Bitwise is also exploring ETFs for memecoins like Dogecoin.

Summary

The U.S. Securities and Exchange Commission (SEC) has granted initial approval to Bitwise Asset Management's exchange-traded fund (ETF) that tracks the price movements of Bitcoin and Ethereum, marking a significant step towards mainstream crypto adoption. The "Bitwise Bitcoin and Ethereum ETF" aims to provide investors with exposure to the spot prices of these cryptocurrencies, weighted by their market capitalizations, which at the time of filing were 83% Bitcoin and 17% Ethereum. This approval is part of a broader trend, as the SEC had previously greenlit similar ETFs from Hashdex and Franklin Templeton. Bitwise's ETF still requires further SEC approval of its Form S-1 before it can commence trading. The fund's management will be handled by Bitwise Investment Advisers, with custody services from Coinbase and administrative support from Bank of New York Mellon. Additionally, Bitwise is venturing into memecoin ETFs, indicating a broadening scope in the crypto investment landscape. This development comes amidst a bullish market outlook, with expectations of continued growth into 2026, supported by an increasingly crypto-friendly regulatory environment in Washington.

cointelegraph
January 31, 2025
Crypto
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