Bitwise Asset Management today announced the acquisition of ETC Group, a London-based crypto ETP issuer with over USD1 billion in assets under management.
The news marks Bitwise’s expansion into Europe and adds nine European-listed crypto ETPs to Bitwise’s broad suite of ETPs, hedge fund solutions, and separately managed accounts.
Founded in 2019, ETC Group’s ETP suite includes the largest and most heavily traded physical Bitcoin ETP (BTCE), Ethereum with staking (ET32), Solana (ESOL), XRP (GXRP), and the MSCI Digital Assets Select 20 (DA20). All of ETC Group’s products are physically backed and will be renamed with the Bitwise brand in the coming months. No material changes to the construction or objectives of the existing ETC investment strategies are planned at this time.
“Bitwise is building a global crypto asset manager for investors and financial advisors who want a best-in-class partner specialized in this fast-growing asset class,” says Hunter Horsley, Bitwise’s CEO. “This acquisition allows us to serve European investors, to offer clients global insight, and to expand the product suite with innovative ETPs. We’re proud of the reputation we have built over the last six years with advisers, institutions, and investors as a sophisticated asset manager in crypto markets, and look forward to bringing this expertise to European investors.”
“We think Bitwise is building the best-of-breed firm for this new asset class and have proven their professionalism and leadership over many years,” says ETC Group co-founder Bradley Duke. “For an asset management firm, culture and values are essential, and we couldn’t be more excited to continue our work in Europe as part of Bitwise.”
The acquisition brings Bitwise’s total assets under management above USD4.5 billion and is the latest milestone in a landmark year for Bitwise. In January, the company launched its first spot bitcoin ETP, the Bitwise Bitcoin ETF (BITB), which became one of the 25 fastest-growing ETPs of all time on its way to over USD2 billion in assets today. In July, Bitwise launched its first spot Ethereum ETP, the Bitwise Ethereum ETF (ETHW), which has gathered more than USD300 million in assets in its first several weeks.
In addition to the new ETPs launched this year, Bitwise writes that its suite of 20 products in the US market includes the largest crypto index fund in the world, a thematic equity ETF, multi-strategy alpha solutions, separately managed accounts, and private funds. Bitwise plans to expand the existing ETC Group platform in Europe in a strategic manner.
