Key Highlights:
- Bitwise Bitcoin and Ethereum ETF approved by the SEC.
- NYSE Arca will list and trade the fund.
- ETF holds spot Bitcoin and Ethereum, alongside cash reserves.
- The approval follows similar filings from other firms like Grayscale, VanEck, and ProShares for crypto-related ETFs.
- Bitcoin price stands at $104,612.69 and Ethereum at $3,269 following the news.
In a landmark decision, the U.S. Securities and Exchange Commission (SEC) has approved the listing and trading of the Bitwise Bitcoin and Ethereum Exchange-Traded Fund (ETF). This approval opens the door for NYSE Arca to list and trade shares of the ETF, offering investors a new avenue for exposure to both Bitcoin (BTC) and Ethereum (ETH), alongside cash reserves.
The Bitwise ETF will primarily hold spot Bitcoin and Ethereum, providing diversified exposure to these two leading cryptocurrencies by market cap. With crypto assets continuing to surge in popularity among both institutional and retail investors, the SEC’s approval of this ETF represents a critical step in the growing trend of crypto-backed investment products.
The SEC’s Accelerated Approval of Bitwise’s proposal signifies a more favorable regulatory environment for crypto exchange-traded funds. While the decision allows for listing and trading on NYSE Arca, the ETF still awaits final approval of its S-1 registration, a required step before it can officially begin trading.
This approval comes after several high-profile firms, including Grayscale and VanEck, have filed applications for their own crypto ETFs. Notably, Grayscale has recently submitted filings for a spot XRP ETF along with other cryptocurrencies like Litecoin and Solana. The approval of these financial products signals a shift toward mainstream cryptocurrency investments as regulatory clarity improves in the United States.
Despite the ongoing regulatory review process, Bitwise Asset Management is one of the first to make strides in the space, setting the stage for future crypto ETF approvals. These moves could make cryptocurrencies more accessible to a wider range of investors, particularly those who prefer traditional financial products like ETFs to directly holding digital assets.
Meanwhile, crypto markets are showing optimism following the announcement, with Bitcoin trading at $104,612.69 and Ethereum at $3,269, reflecting a positive shift in both coins’ prices. If the S-1 registration is approved, the Bitwise ETF could serve as a major catalyst for further investment into Bitcoin and Ethereum, potentially sparking increased institutional involvement.
