The Bitwise Bitcoin ETF (BITB) Begins Trading

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The financial world has taken a significant step forward with the official launch of the Bitwise Bitcoin ETF (BITB), marking a pivotal moment in the mainstream adoption of digital assets. As the first spot bitcoin exchange-traded fund from Bitwise Asset Management—the largest crypto index fund manager in the United States—BITB offers investors a regulated, transparent, and cost-efficient way to gain exposure to bitcoin.

With a management fee of just 0.20%, one of the lowest among spot bitcoin ETFs, BITB sets a new benchmark for affordability. Notably, the fee will be waived entirely for the first six months on assets up to $1 billion, further enhancing its appeal to both retail and institutional investors. While other expenses such as brokerage fees may still apply, this pricing structure positions BITB as a highly competitive option in the growing ETF landscape.

Backed by trusted financial institutions, BITB leverages Coinbase Custody Trust Company as its digital asset custodian, ensuring secure storage of underlying bitcoin. The Bank of New York Mellon serves as fund administrator, and KPMG acts as independent auditor—three pillars of credibility that reinforce investor confidence.

👉 Discover how low-cost, secure bitcoin investing can fit into your portfolio strategy.

A Trusted Name in Crypto Investing

Founded in 2017, Bitwise has spent nearly a decade building a reputation as a leader in crypto asset management. Today, the firm supports tens of thousands of investors and collaborates with over 1,800 advisor teams, RIAs, family offices, and institutions—a number that has doubled in just two years. This rapid growth underscores the increasing demand for professional-grade crypto investment solutions.

As a dedicated crypto specialist, Bitwise doesn’t just offer products—it delivers education, research, and ongoing support through resources like the Bitwise Expert Portal, the Bitcoin Library, weekly CIO memos, and in-depth white papers such as “Bitcoin’s Role in a Traditional Portfolio.” Its nationwide team of crypto experts is available for direct consultation with financial professionals, ensuring advisors have the tools they need to guide their clients confidently.

Commitment to Open-Source Innovation

In a move that highlights its long-term vision for the Bitcoin ecosystem, Bitwise has pledged to donate 10% of BITB’s annual profits to three non-profit organizations dedicated to advancing open-source Bitcoin development:

These groups play a vital role in improving Bitcoin’s security, scalability, and usability. By supporting them, Bitwise reinforces its belief that Bitcoin’s strength lies in its decentralized, community-driven foundation.

“Bitcoin is fundamentally open-source software,” said Hong Kim, Chief Technology Officer at Bitwise. “Both Bitwise and our clients have a vested interest in its ongoing development, and supporting these organizations is a direct way to contribute to that.”

This commitment will last at least 10 years, signaling a sustained effort to nurture the technological backbone of the asset class.

Why ETFs Matter: A Game-Changer for Mainstream Adoption

For over a decade, investors faced significant hurdles when accessing bitcoin—self-custody risks, exchange volatility, regulatory uncertainty. The arrival of spot bitcoin ETFs like BITB removes many of these barriers.

According to the sixth annual Bitwise/VettaFi Benchmark Survey, 64% of financial advisors prefer ETFs as the ideal vehicle for crypto investment. ETFs offer familiarity, liquidity, tax efficiency, and integration into traditional brokerage accounts—key advantages for mainstream portfolios.

“With the long-awaited launch of bitcoin ETFs like BITB, the gates are finally open for many mainstream investors,” said Hunter Horsley, CEO of Bitwise. “The question becomes which product to choose—and that often comes down to both the features of the ETF and the expertise of the provider.”

Matt Hougan, Bitwise’s Chief Investment Officer, called the moment a “game-changer” and a “turning point” in asset class history.

“It’s hard to fully capture how big today is for bitcoin,” Hougan said. “For more than a decade, investors who wanted to access the world's largest crypto asset had to wrestle with how to own it. For many investors, that hurdle is now gone.”

Expanding the Crypto ETF Ecosystem

BITB joins a growing suite of 19 professionally managed investment products from Bitwise, including five other ETFs:

Beyond ETFs, Bitwise offers the Bitwise 10 Crypto Index Fund (BITW), private funds, multi-strategy solutions, and separately managed account (SMA) strategies—catering to diverse investor needs across risk profiles and investment goals.

👉 Explore how next-generation crypto ETFs are reshaping modern portfolios.

Core Keywords

Frequently Asked Questions (FAQ)

Q: What is a spot bitcoin ETF?
A: A spot bitcoin ETF directly holds actual bitcoin as its underlying asset, providing investors with exposure to real-time price movements without requiring them to buy or store cryptocurrency themselves.

Q: How does BITB differ from futures-based bitcoin ETFs?
A: Unlike futures-based ETFs that track bitcoin futures contracts, BITB holds physical bitcoin in custody. This eliminates roll yield risks and provides more direct price correlation with the spot market.

Q: Is BITB suitable for all investors?
A: No. BITB is designed for investors who understand the risks associated with bitcoin and are seeking long-term exposure. It is not appropriate for those with low risk tolerance or short investment horizons.

Q: Are there protections for BITB shareholders under U.S. securities laws?
A: BITB is not registered under the Investment Company Act of 1940 nor regulated under the Commodity Exchange Act of 1936. As a result, shareholders do not receive the same regulatory protections as traditional mutual funds or commodity pools.

Q: How does Bitwise ensure the security of its bitcoin holdings?
A: Bitcoin is held in cold storage by Coinbase Custody Trust Company, one of the most secure and regulated custodians in the industry.

Q: Can I redeem my BITB shares directly with the fund?
A: No. Shares trade on exchanges at market price and cannot be individually redeemed. Only authorized participants can create or redeem large blocks of shares known as Creation Units.

👉 See how institutional-grade custody and transparency define modern crypto investing.

Final Thoughts

The launch of the Bitwise Bitcoin ETF (BITB) represents more than just another financial product—it’s a milestone in the evolution of digital assets. With competitive fees, robust infrastructure, and a commitment to ecosystem development, Bitwise has positioned itself at the forefront of this transformation.

As investor interest grows and regulatory clarity improves, spot bitcoin ETFs like BITB are likely to become core components of diversified portfolios—bridging traditional finance with the future of value transfer.

For financial professionals and individual investors alike, now is the time to understand how these innovative instruments can enhance long-term strategies in an increasingly digital world.