Bitwise Asset Administration, a distinguished cryptocurrency ETF supplier, has acquired London-based digital asset issuer ETC Group. This acquisition will elevate Bitwise’s belongings underneath administration (AUM) to $4.5 billion, in line with an organization press launch. ETC Group, identified for its physically-backed Bitcoin fund, contributes roughly $1.1 billion in AUM to the deal.
Strategic Growth and International Attain
San Francisco-based Bitwise, which launched a spot Bitcoin ETF within the U.S. earlier this yr, manages seven ETFs with a complete AUM of $2.7 billion. Bitwise CEO Hunter Horsley famous that the acquisition will assist the corporate enhance its choices for European traders and increase its world footprint. Horsley emphasised that the acquisition will allow the corporate to raised serve European traders, present world insights, and increase its product vary.
The addition of ETC Group offers Bitwise with entry to a European market the place crypto-exchange traded merchandise have been established for a while, contrasting with the U.S. market the place spot Bitcoin ETFs solely just lately obtained regulatory approval in early 2024.
Trade Developments and Current Offers
The acquisition aligns with a broader pattern of consolidation within the ETF business. Current offers embody Valkyrie Investments promoting its ETF enterprise to CoinShares and Ark Funding Administration buying Rize ETF Restricted. Particular phrases of the Bitwise-ETC Group deal weren’t disclosed, however the acquisition will combine ETC Group’s vary of crypto-focused exchange-traded merchandise underneath the Bitwise model.
Since its launch on January 11, the Bitwise Bitcoin ETF (BITB) has seen roughly $2 billion in inflows, making it the fourth hottest among the many 11 SEC-approved merchandise this yr, as reported by U.Okay. asset supervisor Farside Buyers.
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