NYSE Arca has filed an application with the U.S. Securities and Exchange Commission (SEC) to list an exchange-traded fund (ETF) managed by Bitwise Asset Management, containing a basket of 10 cryptocurrencies.
On November 15, Bitwise announced that NYSE Arca has filed a Form 19b-4 to list the Bitwise 10 Crypto Index Fund (BITW) as an exchange-traded product (ETP). The fund has 10 different allocations, including top Cryptoassets such as BTC, ETH, SOL, XRP, Cardano (ADA), Avalanche (AVAX), Bitcoin Cash (BCH), Chainlink (LINK), Uniswap (UNI), and Polkadot (DOT).
As of October 31, 2024, the fund's investment portfolio includes 75.1% BTC, 16.5% ETH, 4.3% SOL, and 1.6% XRP. The remaining assets each make up less than 1% of the fund's holdings.
ETP "the most efficient vehicle" to provide exposure to Cryptoassets
Bitwise CEO Hunter Horsley said in the announcement that the company sees the ETP as "the most efficient, convenient, and useful vehicle to provide exposure to Cryptoassets." He stated that the company is committed to converting this fund into an ETP. The company said the ETP offers benefits such as legal protections and increased efficiency for shareholders. The ETF issuer explained that an ETP will accept continuous creations and redemptions. Bitwise said this creates an arbitrage mechanism, allowing the fund to trade more closely to its net asset value (NAV) on the secondary market. This filing marks another step in Bitwise's efforts to convert its $1.3 billion in assets under management into an ETP structure.
Source: Eric Balchunas
