Wealth management firm Bitwise has officially filed with the SEC to launch an Aptos ETF, offering investors direct access to the APT token, and integrating layer-1 blockchain assets into traditional financial markets.
What is Aptos (APT)?
Aptos is a layer-1 blockchain designed for scalability, security, and efficiency in decentralized applications (dApps). Developed by former Meta engineers using the Move programming language, Aptos aims to enhance smart contract safety and performance. Despite its potential, Aptos remains a high-risk asset, ranked 36th by market capitalization with a total market value of $3.7 billion. The token has experienced significant volatility but continues to attract developers and liquidity providers in the DeFi sector.
Inside Bitwise’s APT ETF Filing
The S-1 registration is a crucial step toward launching the ETF. It allows Bitwise to issue new securities and list them on a public exchange. According to the filing, the Bitwise Aptos ETF will hold APT tokens and track the CF Aptos–Dollar Settlement Price as a pricing benchmark, issue and redeem ETF shares in blocks of 10,000 units (“Baskets”), be managed by Bitwise with an annual management fee (rate not disclosed yet), and use Coinbase Custody Trust Company, LLC as its main custodian. The ETF will be cash-settled, and APT holdings will be stored in cold wallets, ensuring security and regulatory compliance.
Aptos ETF: A First for U.S. Markets
While Europe has already seen crypto-staking ETFs, including APT-based products launched on Swiss exchanges, the Bitwise Aptos ETF would be the first APT spot ETF in U.S. markets. This ETF aims to attract institutional and retail investors looking for regulated exposure to Aptos without the need for direct crypto custody. However, Bitwise warns in its prospectus: "Aptos is a relatively new technological innovation with a limited history. There is no assurance that usage of the Aptos Blockchain or Aptos will continue to grow."
The streamlined process of registering the APT ETF represents a significant milestone for integrating layer-1 blockchain assets into traditional financial markets and indicates a growing interest from institutional investors in emerging blockchain projects like Aptos.
