Bitwise files for stablecoin and tokenization ETF

Bitwise Asset Management has ventured deeper into the burgeoning world of cryptoassets after submitting to the US Securities and Exchange Commission (SEC) a filing for the “Stablecoin & Tokenization ETF”.

The new fund is designed to provide business people with an alternative way to invest in two of the fastest-growing areas of crypto markets, stablecoins and tokenized assets, via a single product. If approved, it would be the first-ever US ETF focused on these themes, providing exposure through a dual-structured product that includes traditional equity investments alongside crypto-linked assets.

The move reflects Bitwise’s desire to remain at the cutting edge of crypto investment innovation and leverage recent regulatory clarity and growing market demand for stablecoin- and tokenization-centric products.

Bitwise builds a dual exposure model

The fund is split evenly into two, one equities and the other crypto assets, according to a filing. The equity sleeve will zero in on businesses that have a direct play around stablecoins and tokenization. These include stablecoin creators, blockchain infrastructure companies, payment processors, exchanges, and even merchants that dabble with digital currencies. 

Bitwise has also established exposure limits to help control concentration risks. Tier 1 companies identified as having higher exposure could make up to 15% of the fund, Tier 2 companies 8%, and Tier 3 companies up to 3%. Bitwise anticipates selecting about 20 companies for the portfolio across Tier 1 and Tier 2, with as many as up to an additional 10 from Tier 3.

The crypto asset sleeve will monitor exchange-traded products (ETPs) linked to blockchain infrastructure and tokenization. To be eligible, the asset should make up at least 1% of the entire stablecoin or tokenization market. About 5% of the sleeve will be devoted to oracle tokens, cryptocurrencies that pull in data about the world from outside the blockchain to make smart contracts work. To prevent undue risk, the fund’s single largest crypto holding would be capped at 22.5%. The ETF is also scheduled to be rebalanced each quarter based on market movement.

Bitwise’s decision to file the fund under the Investment Company Act could mean a less onerous SEC review path than what would be required for other fund structures. Analysts say this improves the chances of approval of the ETF.

Regulation shapes market dynamics and launch timeline

The filing is submitted at a time when the US is increasingly embracing stablecoins and tokenization. The draft bill to regulate stablecoins reduces the uncertainty and increases investor confidence that the GENIUS Act, passed in July, created. Meanwhile, tokenized real-world assets (RWAs), including bonds and credit instruments, minted on blockchains have exploded in 2025, according to data from Chainalysis, reaching nearly $76 billion.

Even stablecoins have experienced a surge. The stablecoin supply went from roughly $205 billion to $268 billion between January and August, a 23% increase. The market has since hit higher highs, and this week surged to nearly $290 billion, according to DefiLlama. These trends have contributed to institutional and retail demand for products with diversified exposure to stablecoins and tokenization.

Bitwise already oversees more than $15 billion in its lineup of crypto funds and ETFs. The firm has stated that it sees itself as a leader in plans for crypto investment products, and this latest filing is part of its approach to combining traditional financial mechanisms with new blockchain offerings.

Although Bitwise hasn’t revealed management fees for the proposed fund, analysts anticipate they’ll be competitive with so many rival products to choose from. There are already competitors, like Nicholas Wealth’s Crypto Income ETF (BLOX), that use equities for their crypto exposure. Still, Bitwise’s unusual two-sleeve structure could make it stand out in the market.

Industry observers have said the SEC may rule on the filing this October or November. If approved, the fund is likely to come to market near Thanksgiving 2025, according to Eric Balchunas, an ETF analyst with Bloomberg. That would place Bitwise ahead of competitors scrambling to roll out new products in a regulatory landscape that has evolved rapidly in digital assets’ favor since the start of the year.

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