Bitwise, a cryptocurrency asset management firm, has filed an application with the US Securities and Exchange Commission (SEC) to withdraw its Bitcoin and Ethereum ETF application.
Bitwise Withdraws Bitcoin and Ethereum ETF Application
This unexpected move comes just days after Bitwise's Chief Investment Officer Matt Hougan defended the approval of all ETFs in a recent interview.
Bitwise's decision to withdraw its ETF application has raised eyebrows in the crypto community, especially considering Grayscale's recent victory with the SEC.
The ETF, which was first applied for on August 3, aimed to allocate funds to Bitcoin or Ethereum futures contracts based on their relative market capitalization. Bitwise also partnered with ProShares to launch another ETF around the same time.
While the withdrawal of the Bitcoin and Ethereum Market Cap Strategy ETF application came as a surprise, the reasons behind this decision remain unclear.
The withdrawal statement stated: “The fund aims to provide capital gains to investors. No assurance can be given that the fund will achieve its investment objective.”
The crypto community is now wondering about Bitwise's future plans regarding ETFs. The contradiction between Bitwise's senior executives' statements and their recent actions has created uncertainty among investors.