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Bitwise Proposes New ETF to Invest in Firms Holding 1,000 BTC or More

The prominent crypto exchange-traded fund (ETF) issuer has proposed a new product called the Bitcoin Standard Corporations ETF, which aims to invest in publicly traded companies that adhere to a “Bitcoin standard,” holding at least 1,000 BTC in their corporate treasuries.

The ETF will focus on firms with a market capitalization of at least $100 million, daily trading liquidity of $1 million or more, and less than 10% of their stock privately held. Bitwise plans to update its index quarterly, using public corporate reports to adjust the fund’s holdings.

Bitcoin Standard Corporations ETF

According to the official filing, as opposed to traditional ETFs, which base stock weight on company market caps, Bitwise’s new fund will assign weight based on the market value of each company’s Bitcoin holdings, with a maximum weight of 25% per constituent to ensure balanced exposure. This initiative comes amid increasing interest in Bitcoin investment products, fueled by rising BTC prices – up 126% over the past year.

Data reveals that at least 30 companies across the world currently meet these criteria. This includes prominent Bitcoin holders such as MicroStrategy, with over 444,000 BTC, and mining companies like Marathon Digital, Riot, Tesla, and Hut 8. These firms are primarily based in the US, Canada, and Asia, with Japan, Hong Kong, and Thailand also emerging as key players in Bitcoin adoption.

The proposal comes amidst growing corporate adoption of Bitcoin as many companies seek to boost stock value by integrating Bitcoin into their treasuries. On that note, Bitwise CEO Hunter Horsley commented,

“It feels like 2025 will be a big year for new corporates adopting the Bitcoin Standard.”

Corporates Embracing Bitcoin

The latest one to dip its toes is KULR Technology Group, which is listed on the New York Stock Exchange and has bought 217.18 Bitcoin for approximately $21 million, beginning its Bitcoin treasury with an average purchase price of $96,556.53 per BTC. This acquisition is the first step in a larger strategy to invest up to 90% of its surplus cash into Bitcoin through future purchases.

Earlier this week, Matador Technologies approved a strategic move to diversify its corporate treasury by adding Bitcoin and USD-denominated assets in a bid to reduce risks associated with the Canadian dollar’s potential devaluation. The company plans to invest $4.5 million in Bitcoin by December 2024 and may continue acquisitions through measured programs.

게시물 Bitwise Proposes New ETF to Invest in Firms Holding 1,000 BTC or More 에 처음 등장 크립토포테이토.


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