Bitwise Files for ETF Focusing on Firms With Large Bitcoin Reserves –
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Bitwise files to launch the Bitcoin Standard Corporations ETF, targeting companies with significant Bitcoin reserves. To be included in the ETF, companies must hold at least 1K BTC, with a market cap of $100M and daily liquidity of $1M. Bitwise Asset Management is making waves with its latest proposal: an Exchange-Traded Fund (ETF) focused on companies embracing Bitcoin in a big way. The new fund, named the “Bitwise Bitcoin Standard Corporations ETF,” aims to offer investors exposure to firms that have adopted the “Bitcoin standard” by holding significant BTC reserves. Bitwise files for Bitcoin Standard Corporations ETF… Would own stocks of companies that have adopted the “bitcoin standard”, which they define as holding at least 1,000 btc in corporate treasury. The btc treasury operations virus is spreading. pic.twitter.com/me0XXX9a6g — Nate Geraci (@NateGeraci) December 26, 2024 According to a filing submitted on December 26, the ETF will include publicly traded companies with at least 1,000 Bitcoin in their treasuries. However, the requirements don’t stop there—eligible companies must hold a market cap of over $100 million. Also, they must have daily trading liquidity of at least $1 million. Additionally, less than 10% of their stock should be privately held. Bitwise’s Unique ETF Strategy and Corporate Bitcoin Adoption What sets this ETF apart is its weighting methodology. Instead of relying on company size, the fund focuses on the market value of each firm’s Bitcoin holdings, with a maximum weight cap of 25% per stock. This means that smaller companies like MicroStrategy, with their massive 444,262 BTC stash, could outweigh giants like Tesla, which holds 9,720 BTC despite its huge market cap. This announcement comes at a time when corporate Bitcoin adoption is gaining momentum. For instance, KULR Technology Group recently invested $21 million in Bitcoin, allocating up to 90% of its excess cash…
Filed under: News - @ December 27, 2024 10:23 am