NYSE Arca to List BITW as ETP, Expanding Crypto Access

Highlights:

• NYSE Arca’s BITW listing aims to convert the crypto index fund into an exchange-traded product (ETP).  
• Bitwise’s ETP conversion seeks to enhance trading efficiency, regulatory protections, and market accessibility.  
• Bitwise expands offerings with the world’s first Aptos Staking ETP on the Swiss Stock Exchange.
  

NYSE Arca filed to list the Bitwise 10 Crypto Index Fund (BITW) as an exchange-traded product (ETP). As the world’s first and largest crypto index fund, BITW holds $1.3 billion in assets under management and offers investors broad exposure to the crypto market. The proposed conversion to an ETP structure reflects Bitwise’s commitment to enhancing efficiency and accessibility for crypto investments.

We’re excited to announce that today NYSE Arca has filed to list the Bitwise 10 Crypto Index Fund (BITW)—the world’s first and largest crypto index fund—as an ETP.

This is the latest step in our efforts to convert the $1.3B publicly traded trust to an ETP structure. pic.twitter.com/wWiZRa4McN

— Bitwise (@BitwiseInvest) November 14, 2024

Hunter Horsley of Bitwise focused on the advantages of ETP structure, particularly viewed from the perspective of shareholders. Subscriptions and redemptions allowed at Net Asset Value (NAV) will pave the way for the addition of an ETP that functions specifically as an arbitrage tool that brings market prices in equilibrium with NAV.

This alteration is intended to improve trading efficiency and the provided regulatory investors’ defense. Horsley noted that through Bitwise, the company focused on ensuring people’s investments in cryptocurrencies are meaningful.

Bitwise’s ETP Transition Aims to Boost Transparency & Growth

Since it started in 2017, the Bitwise 10 Crypto Index Fund has offered investors diverse and managed access to the growing crypto market. Bitwise’s Chief Investment Officer, Matt Hougan, highlighted that BITW has led index-based crypto investments, creating new investor opportunities. The transition to an ETP structure aims to build on this foundation by further enhancing market transparency and operational efficiency.

The filing is crucial for Bitwise, but the firm still requires approval from the regulators. One reason could be the time the U.S. Securities and Exchange Commission takes to review it, especially if the Chair, Gary Gensler, departs. Further, Bitwise’s developments to diversify offerings are evident in its current plan to offer new spot Bitcoin and Ethereum ETFs.

Bitwise’s Expansion Continues with Aptos Staking ETP

In addition to the NYSE Arca filing, Bitwise recently launched the world’s first Aptos Staking ETP, set to trade on the Swiss Stock Exchange. This move demonstrates Bitwise’s commitment to innovation in the crypto investment space and its dedication to meeting the evolving needs of global investors. Bitwise seeks to solidify its leadership in the crypto asset management industry by offering diversified products and expanding into new markets.

Bitwise Asset Management announced that the new Bitwise Aptos Staking ETP is scheduled to be listed on the Swiss Stock Exchange on November 19, 2024. The product will be the world's first Aptos Staking ETP. APTB is physically backed and will stake the underlying Aptos to generate…

— Wu Blockchain (@WuBlockchain) November 12, 2024

The proposed change of BITW to the ETP structure has been considered as a significant step toward improving the availability and reliability of crypto investments. If approved, it will act as a guideline for wider inclusion of this kind of product and, more widely, cryptos in financial markets.