Bitwise Suddenly Withdraws ETFs Application Amid Market Tension Bitwise

Bitwise Suddenly Withdraws ETFs Application Amid Market Tension Bitwise Trust Fund has taken a surprising turn by withdrawing its application for a Bitcoin and Ethereum Market Cap Weight Strategy exchange-traded fund (ETF) from the U.S. Securities and Exchange Commission (SEC). Bitwise initially filed its application for the ETF on August 3, but in an unexpected twist, they have now withdrawn it. The application stated that the fund aimed to provide investors with capital appreciation but cautioned that there were no guarantees of achieving this objective. The company clarified in its withdrawal statement that it no longer intended to seek effectiveness for the fund and that no securities of the Fund were or would be sold. This decision is surprising, especially considering that its Chief Investment Officer, Matt Hougan, had previously urged the SEC to approve all pending ETF applications, believing it would foster competition, lower prices, and produce better products. In recent months, there has been growing interest from asset managers in cryptocurrency ETFs, with companies like BlackRock and Bitwise filing applications for Bitcoin spot ETFs. However, the SEC has delayed its decision on these applications, citing the need for more time to assess rule changes and related concerns. The earliest possible decision date is now set for October.