Bitwise announces ETF for investing in companies

Bitwise, one of the leading companies in the ETF market, has introduced a new investment product focused on public companies with large Bitcoin reserves.

Who can be included in the ETF?

To become part of the new fund, companies must meet several important criteria. First, they must hold at least 1000 BTC on their balance sheet. However, this is not enough — it is also required that the market capitalization of these companies be no less than $100 million, and the average daily liquidity of their shares exceeds $1 million. Additionally, companies must have no more than 10% of their shares in free circulation.

Feature of the ETF product

Its uniqueness lies in the fact that, unlike most funds where a company's weight depends on its market capitalization, the Bitwise Bitcoin Standard Corporations ETF focuses on bitcoin assets. Investment in a company will be determined by the value of the crypto assets on its balance sheet, with a maximum weight of 25%. This means that companies like MicroStrategy, with large bitcoin reserves, can have a greater weight in the fund than Tesla, despite Tesla's higher market capitalization.