NYSE Arca has filed to list and trade Bitwise’s new product, offering direct exposure to Bitcoin and Ethereum.
Underlying Assets and NAV Calculation
The Bitcoin-Ether ETP would be listed under NYSE Arca Rule 8.201-E, aimed at providing exposure to the value of holdings, minus operational expenses and liabilities. The Net Asset Value (NAV) of the fund will be calculated daily using trusted CME CF pricing benchmarks for Bitcoin and Ethereum. Bitwise asserts this dual asset ETP will offer a more transparent and reliable way to track asset values.
The Impact on the Crypto Market
If approved, this ETP would be the first of its kind in the U.S. market, providing investors access to both digital assets in one fund and simplifying portfolio diversification. Bitwise’s previous success in the market also boosts confidence in this new offering's potential.
Rising Competition in the ETF Space
Bitwise is not alone in seeking to offer crypto-related ETPs. For instance, Franklin Templeton's Crypto Index ETF is also awaiting SEC approval. Brazilian firm Hashdex has filed for its own Bitcoin-Ethereum ETF.
Bitwise's proposal may transform the crypto-market landscape but it remains to be seen if it will gain SEC approval, known for its cautious stance on cryptocurrency financial products.
