Bitwise, a well-known asset management firm, has filed a registration application with the United States Securities and Exchange Commission (SEC) for an exchange-traded fund (ETF) that will contain both Bitcoin and Ethereum. This new ETF intends to provide investors with balanced exposure to the two largest cryptocurrencies, Bitcoin and Ether, in a regulated, easy-to-access format.
The proposed ETF will contain various digital assets in quantities corresponding to their market capitalizations, providing a diversified crypto investing alternative. While the filing did not mention a debut date, Bitwise stated that the product would begin trading “as soon as practicable” after the SEC approval.
The approval of this ETF is still dubious, particularly as the SEC prepares for leadership changes. Many in the sector believe that President-elect Donald Trump’s nominee, who will succeed current SEC Chair Gary Gensler in January 2025, will adopt a more positive stance on crypto legislation. This shift might pave the way for widespread acceptance of cryptocurrency ETFs.
Following the introduction of spot Bitcoin and Ether ETFs earlier in 2024, there is a growing demand for crypto-based financial products. Bitwise’s new ETF proposal, along with previous registrations for cryptocurrency-related products such as Solana and XRP, points to a growing trend of diversified crypto investment vehicles. As the regulatory landscape evolves, this dual Bitcoin-Ether ETF might play an important role in making it easier for ordinary and institutional investors to invest in these prominent cryptocurrencies.
