The Bitwise 10 Crypto Index Fund has commenced trading as a regulated exchange-traded product on NYSE Arca, following approval from the U.S. Securities and Exchange Commission. This development marks a significant step for institutional access to the cryptocurrency market.
The $1.25 billion fund, which tracks the 10 largest cryptocurrencies by market capitalization, is now the second U.S.-listed multi-asset crypto index to operate as a fully regulated exchange-traded product. Grayscale received similar approval earlier in 2024 for a comparable fund.
Expanded Access for Investors
The fund previously operated as an over-the-counter product since its launch in 2020. The transition to a regulated exchange structure significantly expands access for financial advisors, retirement platforms, and institutional investors whose mandates require exchange-listed securities.
This uplisting allows investors to gain exposure to the broader cryptocurrency market through a familiar ETP structure, aligning with traditional investment vehicles.
Fund Methodology and Holdings
The Bitwise 10 Crypto Index Fund employs a rules-based index methodology that incorporates market capitalization and liquidity filters. According to the company, current holdings include Bitcoin, Ether, Solana, XRP, and other top-ranked cryptocurrencies. The portfolio undergoes monthly rebalancing to adjust exposure as market conditions shift.
Industry Reaction
"This is a watershed moment for crypto as an asset class," stated Hunter Horsley, chief executive officer of Bitwise. "With the fund uplisting as an ETP today, crypto finally has a NYSE-traded index fund."
Matt Hougan, chief investment officer at Bitwise, emphasized the benefit for investors: "The fund’s transition to NYSE Arca is a breakthrough moment. It lets people invest in the thesis without having to predict the future, knowing that the fund will own the largest, most successful assets in the space."
Regulatory Process and Market Landscape
The SEC approval followed a delayed review process earlier in 2024. NYSE Arca’s proposed rule change permitting the product’s listing was certified as effective on December 4, 2024, according to regulatory filings.
The Bitwise fund joins Grayscale's multi-asset crypto ETP as one of two U.S.-listed products offering diversified index-style crypto exposure under full exchange oversight. Prior to these approvals, American investors seeking similar exposure often relied on offshore vehicles, private funds, or over-the-counter products with limited liquidity.
The regulated ETP structure operates within the same framework governing commodity and equity-linked exchange-traded products. This framework addresses custody, tax, and regulatory concerns that have historically deterred some institutional investors from holding digital tokens directly.