The US Securities and Exchange Commission has given its first approval to Bitwise Asset Management’s exchange-traded fund, which will track the prices of Bitcoin and Ethereum based on their relative market capitalizations.
Bitwise ETF Moves Closer to Trading
On January 30, the SEC approved the fund’s 19b-4 filing, marking the initial step toward launching the Bitwise Bitcoin and Ethereum ETF. However, for the fund to go live, Bitwise still needs approval for its Form S-1 registration application.
The ETF will provide exposure to Bitcoin and Ethereum in a single fund, with asset weightings determined by their market capitalizations. As of the filing date, the ETF allocated 83% to Bitcoin and 17% to Ethereum. The fund calculates market capitalization by multiplying the pricing benchmarks by each asset’s circulating supply.
The approval follows the appointment of a crypto-friendly acting chair to lead the SEC. Bitwise initially filed for the ETF in November, shortly after Donald Trump’s election victory.
Bitwise Investment Advisers will manage the fund, with Coinbase providing custody and Bank of New York Mellon serving as the cash custodian, administrator, and transfer agent.
Growing Interest in Crypto ETFs
This approval makes Bitwise the third firm to receive SEC approval for a joint Bitcoin and Ethereum spot ETF, following similar approvals for Hashdex and Franklin Templeton on December 19.
Bitwise is also expanding its ETF offerings, having recently filed for a spot Dogecoin ETF on January 28. Meanwhile, Tuttle Capital filed for ten leveraged crypto ETFs, prompting Bloomberg ETF analyst James Seyffart to suggest that issuers are “testing the limits of what this SEC is going to allow.”
Nathan Dean, a senior government analyst at Bloomberg Intelligence, noted that issuers are exploring unique filings, including memecoin ETFs, as they gauge the SEC’s regulatory stance.
On January 30, Bitwise predicted that the ongoing crypto bull market could extend into 2026 and beyond, citing increasing regulatory acceptance in Washington. The firm stated that the path to mainstream crypto adoption is clearer than ever.
