Bitwise Expands Altcoin Exposure With 11 New Crypto ETFs Hitting NYSE Arca—Here's What Traders Need to Know

Major asset manager Bitwise is pushing to launch a suite of 11 single-token crypto strategy ETFs on NYSE Arca, marking a significant expansion of regulated digital-asset investment vehicles in the U.S. market. The regulatory move signals growing institutional appetite for direct token exposure through traditional investment vehicles.

The Filing: What Bitwise Registered With the SEC

On December 30, Bitwise submitted a post-effective amendment to the SEC, registering 11 cryptocurrency strategy ETFs tied to individual protocol tokens. The Form N-1A filing amends the Bitwise Funds Trust to include dedicated funds covering AAVE, CC, ENA, Hyperliquid, NEAR, STRK, SUI, TAO, TRX, UNI, and ZEC—representing a broad cross-section of major altcoin ecosystems.

Each fund operates as a separate trust series, with a straightforward mandate: seek capital appreciation by gaining exposure to a single digital asset. Unlike traditional equity or bond funds, these vehicles provide direct cryptocurrency positioning for retail and institutional investors within a regulated framework.

How These ETFs Actually Work

The structure matters more than you might think. Each Bitwise crypto strategy ETF intends to maintain at least 80% of net assets in instruments that track its respective token. However, direct token holdings are capped at 60% of net assets—why the split?

The funds employ a multi-pronged exposure strategy: direct cryptocurrency holdings form the core, while non-U.S. exchange-traded products and secant derivative instruments provide additional flexibility and regulatory compliance. This hybrid approach allows Bitwise to optimize for both performance and regulatory positioning.

The prospectus notes that funds may establish wholly owned Cayman Islands subsidiaries to hold digital assets and derivative instruments while maintaining regulated investment company status under U.S. tax code—a common structure for crypto-linked products seeking compliance.

Why This Matters for the Crypto Market

The timing is significant. These ETF filings demonstrate sustained institutional confidence in altcoins during a period when regulatory clarity around crypto assets remains unsettled. By structuring these as distinct single-token funds rather than a diversified basket, Bitwise is effectively betting that investor demand for targeted altcoin exposure justifies the regulatory and operational complexity.

Trading will happen on NYSE Arca, with share creation and redemption handled through authorized participants in large blocks. Bitwise Investment Manager LLC will serve as the investment adviser, managing portfolio operations once the funds launch.

What Investors Should Know

Won’t mirror spot prices exactly. Performance will deviate from raw token prices due to fund fees, structural features, and reliance on third-party exchange-traded products. Expect a slight drag from the fund’s operational costs.

Volatility and custody risks are real. The prospectus openly addresses digital asset price swings, cybersecurity threats, and regulatory classification uncertainty—standard disclosures but worth reviewing before investing.

Tokens covered include major protocols. AAVE (lending), UNI (DEX), TRX (payments), NEAR (computation), SUI (Layer 1), and ZEC (privacy) represent different blockchain narratives, offering exposure to various market segments.

These funds represent an institutional entry point for altcoin investors who prefer regulated vehicles over direct exchange holdings or self-custody arrangements.