Bitwise Asset Management announced the launch of two ETFs based on Ethereum, joining the growing list of asset managers looking to create Ethereum-based futures products after the SEC greenlit them.
The two funds will be called the Bitwise Ethereum strategy ETF and the Bitwise Bitcoin and Ether Equalweight strategy ETF. Bitwise said the launch of these ETFs would facilitate investor access to Chicago Mercantile Exchange ether futures and broaden regulated and trustworthy investment avenues in the crypto industry.
Bitwise's chief investment officer Matt Hougan pointed out the extensive portfolio opportunity Ethereum offers compared to Bitcoin, describing it as a combination of alternative and conventional growth investment. He added: 'I am a believer in what we are doing and I think it is a privilege to live in a place like this,' he said.
The launch comes as Ethereum continues to evolve as a hub for innovation and growth. It enlivens an ecosystem thriving with applications and advancements, grabbing the attention of millions of users and leading brands.
Bitwise CEO Hunter Horsley highlighted Ethereum's dynamic expansion and the momentum it's gaining, and said the ETFs are intended to be a gateway for investors to participate in Ethereum's expanding landscape through regulated avenues that inspire confidence.
Bitwise's trading for ETFs is part of a larger trend, with numerous companies, such as Invesco and Valkyrie, exploring Ethereum ETF offerings while awaiting approval for spot Bitcoin ETFs.
The decisions by the SEC on these applications are highly anticipated, with outcomes potentially being influenced by related developments like the Grayscale lawsuit.
The crypto community is eagerly observing what the SEC is doing, as the watchdog's approval decisions are poised to shape the trajectory of crypto investments in the U.S. for years to come.
Even though they will be approved by the SEC for their launch, Bloomberg analyst James Seyffart revealed that nine Ethereum Futures ETFs, including Bitwise's, are set to receive extended approval from the SEC for their launch on October 2, 2023.