Bitwise, a crypto asset manager, made headlines on Wednesday by becoming the inaugural among the ten spot bitcoin exchange-traded fund (ETF) issuers to disclose its digital wallet address to the public. The San Francisco-based company shared a screenshot via Twitter revealing the Bitwise Bitcoin ETF’s (BITB) bitcoin address, along with its holdings of 11,858 bitcoins as of January 23. In a statement, the firm emphasised the significance of this move, stating that it allows anyone to directly verify the fund’s holdings and transactions on the blockchain.
The company stressed the importance of on-chain transparency, aligning with bitcoin’s core principles. Bitwise expressed its commitment to further enhancing transparency, hinting at potential collaborations with firms like Hoeski to provide real-time cryptographic attestations. Bitcoin and the wider crypto ecosystem have always prioritised transparency, prompting industry participants to seek detailed insights into the financial aspects of products and services, including newly launched ETFs.
While the introduction of spot bitcoin ETFs has garnered attention, there are concerns that traditional finance (tradfi) practices might alter the essence of bitcoin, similar to what occurred with other assets in the past. However, industry experts are currently lauding Bitwise’s initiative as a positive step towards on-chain accounting, emphasising its significance in bridging traditional finance and decentralised finance (defi).
Arkham Intelligence recently identified bitcoin wallet addresses associated with Bitwise, BlackRock, Fidelity, Franklin Templeton, VanEck, and WisdomTree. As of now, Bitwise holds 11,858 bitcoins valued at approximately $474 million, making it the most successful crypto-native ETF issuer with $518 billion in inflows over the past eight days. Although BlackRock and Fidelity’s spot ETFs have seen greater inflows at around $1.8 billion and $1.5 billion, respectively, Bitwise’s move toward transparency has received widespread acclaim within the industry.