After ETFs, It's Tokenization…Wall Street Money Pours into Crypto Market

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In the expanding tokenized financial market, Bitwise has officially launched its entry into the on-chain asset market by taking over the management rights of a $267 million cryptocurrency income fund.

According to investment media FXStreet on May 8 (local time), Bitwise is set to take over the management of Superstate's ‘Superstate Crypto Carry Fund (USCC)’ starting June 1. The fund's name will be changed to ‘Bitwise Crypto Carry Fund,’ but the ticker, token address, and smart contract will maintain their existing structure.

The fund operates for qualified investors and generates returns using a ‘cash-and-carry’ strategy that exploits price differences in the Bitcoin (BTC) and Ethereum (ETH) futures markets. This structure aims for stable returns by leveraging the discrepancy between spot and futures prices.

Hunter Horsley, CEO of Bitwise, stated, “Capital markets are rapidly moving on-chain, and tokenization investment strategies are becoming a core pillar of this change.” According to the media, the fund currently holds over $267 million in assets under management (AUM), with hedge funds, venture capitalists, corporations, high-net-worth individuals, and cryptocurrency protocols participating as investors.

Through this transaction, Bitwise will expand its business scope from existing crypto spot ETFs and institutional product-focused businesses to the realm of tokenized financial products. Superstate, on the other hand, plans to step back from direct fund management and focus on developing ‘FundOS,’ a tokenized fund infrastructure platform. Superstate will continue to be responsible for on-chain infrastructure operations, including token issuance and transfer services, in the future.

The media reported that institutional investors’ demand for tokenized assets is rapidly expanding. BlackRock launched the ‘BlackRock USD Institutional Digital Liquidity Fund (BUIDL)’ in 2024, and Franklin Templeton is also operating the ‘Franklin OnChain U.S. Government Money Fund (FOBXX).’ According to RWA.xyz data, the global tokenized asset market size has exceeded $30 billion, with tokenized U.S. Treasury products alone accounting for over $15 billion.

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