Bitwise Asset Management announced that NYSE Arca has submitted a request to list the Bitwise 10 Crypto Index Fund (BITW) as an exchange-traded product (ETP). The listing will see Bitwise convert $1.3 billion to an ETP structure.
The listing comes at a time when Bitcoin prices have been higher for longer and have seen a rise in optimism. Additionally, ETPs have gained a lot of traction in the market, especially from both institutional and retail investors.
Bitwise ETP To Be First Crypto Index Fund
The listing will subsequently result in making the first and biggest cryptocurrency index fund globally. Bitwise is working to convert the publicly traded trust worth $1.3 billion to an ETP structure, and this filing is the most recent step in that process.
“Bitwise believes that ETPs are among the most efficient, convenient, and useful vehicles for providing crypto exposure,” said Bitwise CEO Hunter Horsley.
He added, “We remain committed to converting BITW to an ETP.”
Because exchange-traded products (ETPs) provide broad exposure across a variety of asset classes, they are well-liked by traders and investors.
Since ETPs are traded on an exchange, such as the London Stock Exchange (LSE), they are often only available during regular business hours. This is similar to shares. Some issuers are starting to provide 24-hour trading on some of these products, nevertheless.
Bitwise’s ETP Filing Comes As Bitcoin Prices Experience Bull Run
The new Bitwise listing comes at a time when Bitcoin has outperformed major financial assets in the world. Bitcoin recently surpassed Saudi Aramco to become the seventh-largest asset on the planet.
Also, over $4.7 billion in net inflows have been made into U.S. spot-listed ETFs in the last six trading days, as Bitcoin domination continues to reach new heights, most recently reaching 61.38%.
Additionally, crypto investors are riding the high with hopes that the SEC might see a shuffle in power. As reports of SEC Chair Gary Genser stepping down tomorrow surfaced, many in the industry expected that the new appointment would have a pro-crypto candidate step in.
ETP Trading Sees Rise in Traction Among Investors
ETPs have seen much higher traction from the market than ever. Among the many advantages that the ETP structure offers to shareholders are increased efficiency and regulatory protections.
An ETP is notable for accepting subscriptions and redemptions at Net Asset Value (NAV) on a continuous basis. This arbitrage mechanism enables the fund to trade on the secondary market in a manner that is more closely aligned with its NAV.