Bitwise Files for Spot Aptos ETF: A Game-Changer for Altcoins?

Bitwise has filed for the S-1 registration at the U.S. Securities and Exchange Commission(SEC) after registering an Aptos ETF trust in Delaware on February 28. The SEC registration statement submitted by Bitwise allows Aptos ETF to seek approval and pave the way for more institutional participation in altcoin investments. 

Bitwise Expands Beyond Bitcoin and Ethereum with Aptos ETF Filing

The filing represents Bitwise’s continuing emphasis on extending its investment focus from Bitcoin (BTC) and Ethereum (ETH) by applying for spot ETFs in Solana (SOL), XRP, and Dogecoin (DOGE). The Aptos ETF differentiates from other crypto ETFs because it operates in the 36th position regarding market capitalization, which makes it unusual for institutional use as an investment vehicle.

BITWISE FILES FOR APTOS ($APT) ETF: DETAILS…

– Bitwise officially submitted an S-1 filing with the U.S. Securities and Exchange Commission (SEC).

– The filing follows Bitwise’s recent Delaware registration for an entity called the "Bitwise Aptos ETF," which is designed to… pic.twitter.com/4IvU8OdGrR

— BSCN (@BSCNews) March 6, 2025

The Layer-1 blockchain Aptos came into being through the development efforts of Meta’s former employees, Mo Shaikh and Avery Ching. The new cryptocurrency Aptos entered the market in October 2022 to fulfill the role of a Solana rival, although it maintains a market value of $3.8 billion under Solana’s market size.

Aptos ETF Details: Custody, Staking, and Regulatory Challenges

The Bitwise spot Aptos ETF will store its assets through Coinbase Custody, a dependable and reputable institutional asset custodian. Although Aptos runs on a proof-of-stake (PoS) blockchain prism, the ETF does not offer staking. The application omitted information regarding expected fund costs and the intended listing market for the ETF. The 19b-4 submitting procedure becomes mandatory for Bitwise before the SEC activates its 240-day review phase. The SEC’s acknowledgment of the filing starts a review process that can extend to many months before final approval is granted.

During previous years, regulatory approval for crypto ETFs presented a major barrier that postponed their implementation. Spot Bitcoin and Ethereum ETFs have achieved market adoption, but the SEC has shown reluctance to authorize ETFs for cryptocurrencies with smaller market capitalizations because it fears security risks combined with market instability. The approval hurdles for this ETF could intensify as Aptos holds a lower market capitalization than both Bitcoin and Ethereum.

Why Aptos? Bitwise’s Strategy in the Expanding Crypto ETF Market

Bitwise’s move to pursue an Aptos ETF represents an exceptional decision since the company typically monitors only the top cryptocurrencies based on their market capitalization. Aptos’s position at rank 36 in the market creates doubts regarding the underlying motives of this application filing. According to DeFiLlama statistics, Aptos maintains the 11th position by total value locked with $1.03 billion. Through its Aptos platform, Franklin Templeton digitized its OnChain US Government Money Fund to show its widening acceptance in monetary markets.

The Bitwise company launched an Aptos Staking ETP on the SIX Swiss Exchange in November 2024, which delivered a 4.7% staking yield. Aptos’s low market position does not deter Bitwise from investing in its longer-term prospects. The Bitwise Aptos ETF stands to become the first U.S. spot ETF for the asset through which institutional investors can access Aptos by direct methods rather than owning or storing the token. Through this action in the crypto asset market, Aptos would gain improved market credibility and liquidity.

Will the SEC Approve Bitwise’s Aptos ETF?

The Bitwise spot Aptos ETF filing demonstrates a major institutional growth factor in cryptocurrency investments that extend past Bitcoin and Ethereum. However, the approval status of this ETF remains uncertain, as neither Aptos’ lower market value nor the SEC’s demanding stance toward smaller crypto assets make a persuasive case.

SEC approval of this ETF will create a new standard for lower-cap cryptocurrencies that want to gain regulatory acceptance. A SEC rejection of the ETF will confirm that only the most significant market-cap assets can qualify for ETF status. All attention focuses on the SEC’s pending decision about adding Aptos as an institutional asset while the agency maintains its traditional stance towards crypto ETFs.