Bitwise Asset Management has filed a new application with the U.S. SEC for a spot NEAR exchange-traded fund (ETF). This move introduces NEAR Protocol into the expanding list of altcoins seeking regulated investment vehicles. The filing marks a notable attempt to integrate altcoins into traditional financial markets through ETFs.
Bitwise Sets Sights on NEAR-Based ETF Launch
Bitwise’s proposed ETF aims to track the price of NEAR tokens while subtracting fund management expenses. The fund will not require direct ownership of NEAR, simplifying access for traditional investors. It intends to provide regulated exposure through familiar brokerage platforms.
Bitwise has filed a Form S-1 with the U.S. SEC to launch the Bitwise NEAR ETF, which will track the value of NEAR held by the trust, net of operating expenses and liabilities. https://t.co/dUCKFpx5i7
— Wu Blockchain (@WuBlockchain) May 6, 2025
Coinbase Custody will handle secure token storage and serve as the fund’s official custodian. This structure helps reduce risk by ensuring institutional-grade asset protection. The ETF will rely on the CF NEAR-Dollar Settlement Price to determine net asset value.
The fund enables share creation and redemption, which helps maintain liquidity in market trading. Although fees and trading details remain undisclosed, the structure mirrors other approved digital asset ETFs. Investors can expect simplified access to NEAR without needing crypto wallets.
Growing Altcoin ETF Interest Follows Bitcoin, Ethereum Approvals
The NEAR filing reflects rising interest in altcoins after regulators approved Bitcoin spot ETFs earlier in 2024. Ethereum ETFs followed, encouraging asset managers to pursue other coins for similar regulated offerings. Investors have responded positively, signaling a growing appetite for broader crypto exposure.
Bitwise now joins firms like Grayscale and BlackRock in seeking altcoin ETF approvals from the SEC. Other pending applications cover assets such as Solana, Cardano, and XRP. These efforts reveal a competitive race to secure regulated access to blockchain-based projects.
Altcoin markets experience higher price movements than Exchange-Traded Funds that provide investors with risk management solutions and transparent investment structures. ETFs operate under regulations to create a bridge between digital currency and traditional financial systems. Through this structure institutions gain enhanced ability to investigate crypto solutions with peace of mind.
NEAR Protocol Gains Visibility in Institutional Markets
NEAR Protocol, a layer-1 blockchain known for scalability, now gains potential access to traditional finance through Bitwise’s filing. The protocol supports fast transactions and has gained traction among decentralized application developers. Its technical foundation supports high throughput and low fees.
Adding NEAR to a regulated ETF could increase adoption and visibility beyond the crypto-native community. Investors who previously avoided direct token purchases may consider ETF shares instead. This shift could strengthen NEAR’s position within the digital asset ecosystem.
Bitwise’s decision signals confidence in NEAR’s long-term viability and investment value. As the regulatory climate evolves, such filings also test the SEC’s openness to diverse crypto assets. The outcome may influence future strategies for altcoin-based investment products.
FAQs
What is the Bitwise NEAR ETF?
The Bitwise NEAR ETF is a proposed investment fund tracking NEAR token prices via the CF NEAR-Dollar Settlement Price.
Who will hold the NEAR tokens?
Coinbase Custody will serve as the custodian, managing secure storage of the fund’s underlying NEAR assets.
How does this ETF differ from buying NEAR directly?
The ETF provides regulated exposure to NEAR without requiring investors to own or manage the digital token themselves.
When will the ETF begin trading?
The ETF must receive SEC approval first; no official trading date or exchange listing has been announced yet.
Why is Bitwise launching a NEAR ETF now?
Rising institutional interest in altcoins and prior ETF approvals for Bitcoin and Ethereum have encouraged similar filings for other tokens.
Glossary of Key Terms
ETF (Exchange-Traded Fund): A type of investment fund traded on stock exchanges, tracking the performance of assets or indices.
NEAR Token: The native cryptocurrency of the NEAR Protocol, a scalable layer-1 blockchain.
Spot ETF: A fund that directly holds the underlying asset instead of derivatives or futures contracts.
Custodian: An institution responsible for safely holding assets on behalf of an investment fund.
SEC (Securities and Exchange Commission): The U.S. regulator overseeing securities markets and investment products.
Creation and Redemption: Processes that allow authorized participants to add or remove ETF shares based on investor demand.
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