BITW will give most of its crypto assets to existing single-coin ETPs

Fund Transitions to Exchange-Traded Product to Enhance Liquidity

Bitwise Asset Management’s 10 Crypto Index ETF has received SEC approval to begin trading on NYSE Arca as an exchange-traded product. This listing approval represents a transition from OTCQX, aiming to boost liquidity for the $1.25 billion fund.

The fund offers exposure to a diversified basket of cryptocurrencies, including Bitcoin, Ethereum, XRP, Solana, Cardano, Chainlink, Litecoin, Sui Network, Avalaunch, and Polkadot.

The portfolio weights within Bitwise’s BITW ETF demonstrate Bitcoin's significant market cap dominance, accounting for 74.34%. Ethereum follows at 15.55%, with other altcoins like XRP at 5.17% and Solana at 3.07% providing further diversification. Bitcoin and Ethereum combined represent 89.89% of the fund's holdings.

Matt Hougan, CIO of Bitwise, stated, "The index approach is a way for people to invest in the thesis without having to predict the future, knowing that BITW will own the largest, most successful assets in the space (by market capitalization), whatever they happen to be. BITW now gives investors broad-based exposure to crypto with the benefit of Bitwise’s oversight and more than eight-year track record."

BITW's Allocation Strategy and Investor Benefits

In its new ETP structure, BITW will allocate approximately 90% of its crypto assets to existing single-coin ETPs, which currently include Bitcoin, Ether, Solana, and XRP. The remaining 10% will be allocated to crypto assets not included in these four major cryptocurrencies. Should other crypto coins achieve the same legal approval status as BTC, ETH, SOL, and XRP, BITW will categorize them within the 90% allocation.

This structure allows investors to diversify their portfolios by investing in a single exchange-traded product that encompasses several major cryptocurrencies. The BITW ETF offers a significant advantage over investing in individual crypto ETFs by streamlining the investment process and reducing the complexity of managing multiple crypto assets.

While the move is expected to influence trading access and liquidity, the ultimate effects will depend on market participation over time.

It is important to note that the amount of crypto represented by a Share will continue to be reduced during the Fund’s life. This reduction occurs due to the transfer of the Fund’s crypto to cover the Sponsor’s management fee and other extraordinary expenses, such as litigation costs. This process will continue regardless of whether the price of the Shares increases or decreases, or how the price of crypto changes.

Hunter Horsley, CEO of Bitwise, commented, "This is a watershed moment for crypto as an asset class. With BITW uplisting as an ETP today, crypto finally has a NYSE-traded index fund. We believe index investing through BITW will become one of the most popular ways for investors to get exposure."

As part of this conversion, several agreements have been established. These agreements cover a wide range of services, including prime execution, trade financing, master purchase and sale arrangements for digital assets, cash custody, marketing, fund administration and accounting, and transfer agency and registrar services. The trust has also entered into agreements with authorized participants and trading counterparties.

Related ETF Listing Changes

In separate news, SS&C ALPS Advisors has announced plans to transfer the listing of several of its ETFs to NYSE Arca. The ALPS | O’Shares US small-cap quality dividend ETF, O’Shares US quality dividend ETF, O’Shares global internet giants ETF, and O’Shares International Developed Quality Dividend ETF will move from the Cboe BZX Exchange, Inc. to the NYSE Arca, Inc.

Shareholders are not required to take any action as a result of this change. According to SS&C ALPS Advisors, the ETFs are expected to begin trading under their current ticker symbols on the NYSE Arca on or about December 30, 2025, though this date is subject to change.