1. Bitwise's Entry into European Market
2. Strategic Importance of the Acquisition
3. Crypto Fund Consolidation

Bitwise Asset Management is expanding its global reach by acquiring London-based ETC Group, known for their crypto exchange-traded products (ETP).

Bitwise's Entry into European Market

The new European-listed, physically backed crypto ETPs that were previously under ETC Group will soon be under the Bitwise brand in the coming months. These products include ETPs focused on Bitcoin, Ethereum, Solana, and XRP. This acquisition will double Bitwise’s assets under management to approximately $4.5 billion, enabling the company to extend its presence in the growing European markets.

Strategic Importance of the Acquisition

Since 2019, ETC Group has fortified its position in the European crypto market. According to the company, there will be no substantial changes in the current investment strategies for the products offered post-rebranding. Bitwise’s European entry follows a series of successful product launches in the U.S. market, including the Bitwise Bitcoin ETF and Bitwise Ethereum ETF, aggregating $2 billion in assets.

Crypto Fund Consolidation

The latest deal aimed at consolidating the crypto fund space strengthens the U.K.-based firm CoinShares’ U.S. presence with its recent acquisition of Valkyrie’s fund business. This move underscores the trend of consolidation among major players in the crypto fund market.

Bitwise’s acquisition of ETC Group reflects the ongoing trend of consolidation in the crypto industry and the drive of major companies to expand their international footprint.