Bitwise has introduced a new way for traditional investors to tap into the crypto market without having to pick individual coins. On Tuesday, the firm launched the Bitwise 10 Crypto Index ETF (ticker: BITW) on the New York Stock Exchange, giving investors one-stop exposure to a curated basket of leading digital assets.
The ETF tracks ten cryptocurrencies: Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), Chainlink (LINK), Litecoin (LTC), Cardano (ADA), Avalanche (AVAX), Sui (SUI), and Polkadot (DOT). Together, they are intended to represent a broad slice of the large-cap and emerging crypto market, while still keeping the portfolio anchored in the most established names.
BITW is particularly notable because it’s the first ETF from a major crypto asset manager to bundle Avalanche, Sui, and Polkadot into a single, regulated exchange-traded product. Bitwise CEO and co‑founder Hunter Horsley highlighted this in an interview, stressing that many of the tokens included still lack their own dedicated spot ETFs. That makes BITW a rare gateway for investors who want exposure to more than just Bitcoin and Ethereum, but prefer to operate within the ETF structure rather than on crypto exchanges.
According to Horsley, the product is aimed squarely at financial advisors and retail investors who invest primarily through brokerage accounts, retirement plans, and tax-advantaged vehicles such as IRAs. In those environments, ETFs are often the default building blocks, and direct crypto ownership can be impractical or prohibited. BITW is designed to fit cleanly into that ecosystem, using a familiar wrapper to deliver access to a complex asset class.
Technically, BITW is not entirely new: it represents a conversion of a preexisting index fund that already tracked the same basket of digital assets. That conversion allowed Bitwise to bring more than $1 billion in assets under management into the ETF on day one, instantly making it one of the larger crypto-related funds on the market.
The broader ETF landscape has shifted sharply since US regulators approved spot Bitcoin and Ethereum ETFs in January 2024. That greenlight ignited a race among asset managers to build out product lineups reaching beyond the two largest cryptocurrencies. Interest has spread to altcoins such as Sui and Aptos, as well as high‑volatility memecoins like Dogecoin (DOGE) and politically themed tokens such as TRUMP. BITW positions itself within this next phase: not a single‑asset bet, but a diversified portfolio of major and emerging names.
At the same time, the sector has not been without turbulence. Crypto ETFs posted heavy outflows in October and November, especially those tracking only Bitcoin or only Ethereum. As prices fell and volatility spiked, investors pulled record amounts of capital, revealing how quickly sentiment can turn even in regulated vehicles. That backdrop makes the timing of BITW’s launch interesting: it arrives just as some investors are reassessing their approach and looking for more balanced exposure.
Horsley argues that this is exactly when a multi‑asset fund makes sense. Many investors, he noted, have been following the space since the first spot Bitcoin ETFs went live but hesitate to choose individual tokens or manage multiple products. A single ETF that automatically spreads risk across several major cryptocurrencies can be more appealing than assembling a portfolio by hand.
Still, BITW’s diversification is carefully controlled. The fund is not an equal‑weight basket of speculative tokens; it is heavily skewed toward the largest and most established assets. Around 90% of its allocation is concentrated in four cryptocurrencies: Bitcoin, Ethereum, Solana, and XRP. The remaining 10% is split among Chainlink, Litecoin, Cardano, Avalanche, Sui, and Polkadot, providing targeted exposure to these smaller but still significant projects.
To keep the portfolio aligned with market conditions, BITW will be rebalanced monthly. That is more frequent than many traditional ETFs, which often adjust their holdings quarterly or even semi‑annually. In a market as volatile and fast-moving as crypto, monthly rebalancing allows the fund to respond more quickly to shifts in relative market capitalization, liquidity, and price trends. It also helps trim positions that have run too far, while increasing weightings in assets that are gaining traction.
Bitwise has framed the launch as a continuation of its long-term strategy rather than a one‑off bet on a market fad. The firm emphasized that it has been building crypto investment products since 2017, with a core mission of broadening access to the asset class. According to its public statements, the demand for an index-based ETP has been persistent, with investors asking for a simple way to own a diversified crypto portfolio through a traditional brokerage account. The listing of BITW on the NYSE is presented as a direct response to that demand.
The company is also openly optimistic about the asset class’s trajectory. Bitwise has described 2025 as a potential breakout year for crypto, suggesting that regulatory clarity, institutional interest, and maturing market infrastructure could set the stage for renewed growth after previous boom‑and‑bust cycles. ETFs like BITW are part of that thesis: if crypto is to be treated as a mainstream asset class, it needs to be accessible in mainstream formats.
Within the newly launched fund, Ethereum has recently stood out as a top performer. At the time of writing, ETH trades around $3,323 and has gained roughly 6% in the last 24 hours, pressing against key resistance levels. That kind of short-term movement illustrates both the upside potential and the volatility BITW investors are signing up for, even when wrapped in a diversified structure.
For investors, BITW raises several practical considerations. First, it reduces the need to manage crypto wallets, private keys, or exchange accounts. Instead, investors can buy and sell the ETF through standard brokerage platforms, just as they would any stock or traditional ETF. This lowers the operational barriers to entry, especially for those who are cautious about self‑custody or security risks.
Second, the ETF structure simplifies portfolio integration. Financial advisors can more easily slot BITW into model portfolios, retirement plans, or risk‑based strategies. For example, an advisor might allocate a small percentage of a client’s portfolio to “alternative assets” and fulfill that sleeve with BITW, rather than cobbling together separate Bitcoin, Ethereum, and altcoin exposures.
Third, investors still need to be mindful of the underlying risk profile. While BITW diversifies across ten assets, all of them remain part of a highly volatile, relatively young market. Regulatory changes, protocol vulnerabilities, and shifts in market sentiment can impact the entire basket at once. Diversification within crypto does not eliminate crypto risk; it primarily spreads it among different projects and narratives.
Another point to consider is that BITW’s weighting methodology favors larger, more liquid coins. That can benefit investors who prefer exposure to established names with deeper markets and less idiosyncratic risk. On the flip side, those seeking aggressive exposure to smaller, high‑beta tokens may find the 10% cap on non‑core assets too conservative. BITW is structured more as a core holding than a speculative moonshot.
Tax treatment is also relevant, especially for those using IRAs or other retirement accounts. Holding crypto exposure inside an ETF can simplify recordkeeping and, in some jurisdictions, offer more straightforward reporting compared to trading spot tokens directly. That said, investors should still consult tax professionals, as regulations around crypto and ETFs continue to evolve.
The fund’s monthly rebalancing mechanics can influence performance over time. In fast‑rising markets, rebalancing may cause the fund to sell portions of its biggest winners to maintain the target portfolio structure, potentially capping some upside. In choppy or mean‑reverting markets, however, that same discipline can help lock in gains and systematically “buy low, sell high” across the basket.
On a market-structure level, BITW’s launch underscores how much crypto has moved into traditional finance channels. A few years ago, access to assets like Solana, Avalanche, and Polkadot largely required going through specialized crypto platforms. Now, exposure to them can be packaged, regulated, and listed on one of the world’s largest stock exchanges alongside blue-chip equities and bond funds.
For conservative investors who have watched the crypto market from the sidelines, products like BITW can serve as a bridge. They do not remove the fundamental volatility or uncertainty inherent in digital assets, but they place that exposure inside a framework investors already understand: regulated exchanges, daily liquidity, and custody by professional institutions.
At the same time, it’s worth stressing that BITW is not a guarantee of outsized returns nor a hedge against broader market drawdowns. Its performance will remain closely tied to the fortunes of the underlying assets. Anyone considering the fund should evaluate their risk tolerance, investment horizon, and broader portfolio before allocating capital.
In sum, Bitwise’s new ETF represents a significant step in the maturation of crypto investing. By wrapping ten major and emerging digital assets into a single, exchange‑traded product, it offers a diversified entry point for those who want broad crypto exposure without diving into the complexities of direct ownership. Whether BITW becomes a core building block for mainstream portfolios will depend on how the next chapter of the crypto market unfolds.