On December 30, Bitwise increased its efforts to introduce more digital assets into regulated markets by submitting applications for 11 new cryptocurrency ETFs to the U.S. SEC. Key elements, such as fees and trading symbols, are still pending, but the proposed funds would obtain exposure through a combination of direct token ownership, crypto-linked ETPs, and derivatives . The Securities and Exchange Commission stated that the primary goal of the Fund is to provide capital appreciation. According to the filing documents, the ETFs focused on tokens include $AAVE, $CC, $ENA, $HYPE, $NEAR, $STRK, $SUI, $TAO, $TRX, $UNI, and $ZEC. The report revealed that the products are expected to take effect on March 16, 2026. Bitwise ETFs outline crypto allocation strategy In terms of investment strategy, the aforementioned ETFs intend to allocate roughly 60% of their assets directly to the corresponding cryptocurrency. According to the SEC report, the remaining 40% would be invested in exchange-traded products (ETPs) that track the same asset, with potential additional exposure gained through derivative instruments. The report revealed that Fund may invest in derivatives contracts that use an Applicable Token or an Applicable Token ETP as the reference asset, such as futures contracts and swap agreements (“Applicable Token Derivatives”). The report further stated that each Fund will invest at least 80% of its net assets plus borrowings in an Applicable Token, Applicable Token ETPs, and Applicable Token Derivatives under typical market conditions. Additionally, Derivative contracts will be valued at their notional value to comply with this investment policy. SEC noted that each Fund shall buy and sell an Applicable Token on digital asset trading platforms. The report revealed that the buying and selling of Applicable Token would also occur through over-the-counter transactions with specific, independent third-party trading counterparties (referred to as “Trading Counterparties”). SEC scrutiny shapes Bitwise’s expanding crypto ETF push The recent filing comes at a time when U.S. regulators are closely examining and gradually approving ETFs. In January 2024, the SEC approved eleven spot Bitcoin ETFs, setting a significant framework. The SEC had previously proposed that several cryptocurrencies could be classified as securities, extending beyond Bitcoin. Earlier this year, the SEC granted fast-track approval for Bitwise’s spot Bitcoin (BTC) and Ethereum (ETH) Exchange-Traded Fund (ETF). The fast-track approval drastically reduced the typical review period. Bypassing the customary 240-day process, approval was granted within 45 days of filing. On January 30, 2025, the SEC accepted NYSE Arca’s 19b-4 filing, allowing Bitwise’s ETF to be listed and traded. According to the report, the Fund consisted of Bitcoin and Ethereum, along with cash reserves, allocating assets according to their respective market capitalizations. The SEC claimed that the ETF qualified for rapid approval because it resembled previously authorized spot cryptocurrency ETFs. The Commission declared that it has good reason to adopt the proposal before the 30th day after the date on which the notice of Amendment No. 126 was published in the Federal Register. This ruling followed the approval by the SEC in December 2024 of Hashdex and Franklin Templeton’s first-ever combined Bitcoin and Ethereum ETFs. On July 22, 2025, the SEC approved Bitwise’s attempt to convert its Bitwise 10 Crypto Index Fund (BITW) into a spot exchange-traded fund (ETF). Notably, the approval was abruptly halted, creating new questions about the agency’s requirements for cryptocurrency ETFs. In the same month, the SEC released a letter stating that “the Commission will review the delegated action,” which is the same message Grayscale received when its ETF was put on hold. The SEC initially approved Grayscale’s Digital Large Cap Fund (GDLC), a comparable product that tracks BTC, ETH, XRP, SOL, and ADA. However, the government then changed its mind and halted the launch of the fund. In a statement, a Grayscale representative said that the SEC’s suspension “was unexpected” but “reflects the dynamic and evolving nature of the regulatory landscape surrounding a first-of-its-kind digital asset product like GDLC.” The Grayscale’s 8-K filing stated that the company remains committed to listing the Fund on NYSE Arca and is working closely with key stakeholders to secure approval of the application. Want your project in front of crypto’s top minds? Feature it in our next industry report, where data meets impact.
