Bitwise Takes a Big Step Towards Launching an Aptos ETF

Bitwise is making a significant leap in introducing an exchange-traded fund (ETF) for Aptos. The company just submitted an S-1 registration to the U.S. Securities and Exchange Commission (SEC). This follows the registration by Bitwise of the “Bitwise Aptos ETF” Delaware entity. Now Aptos has also joined the list of ETF-submitted crypto; previously top cryptos like Bitcoin(BTC), Ethereum (ETH), Solana (SOL), etc, went through U.S. SEC ETF procedures.

What is Aptos, and Why Does It Matter?

Aptos is a layer-1 blockchain developed by Aptos Labs. It has been designed to handle numerous transactions and enable decentralized applications and smart contracts. APT is the Aptos blockchain’s native cryptocurrency.

It is currently 36th in market cap standing at around $3.8 billion. Approving an ETF would give investors a secure way to invest in Aptos without having to own the token directly. 

The SEC Approval Process and Market Reaction

Submission of the S-1 filing is an important aspect of the listing process of the ETF. Bitwise, however, will also need to file a 19b-4 filing, which triggers a formal review by the SEC. The approval process is famously complicated, considering the multiple challenges that have faced cryptocurrency ETFs in the past. The SEC’s ruling on this aspect will be a key determinant of whether the Aptos ETF will move forward.

After the filing went public, the price of Aptos’s APT token went up by 18% to $6.48. This is an indicator that investors want the idea of an ETF, which would make it easier and more convenient to invest in Aptos.

The Future of Crypto ETFs

Bitwise’s action is part of a wider trend towards institutional investment in crypto investment products. Although Bitcoin and Ethereum ETFs have been welcomed, there is now increasing demand for other blockchain initiatives. If the Aptos ETF is approved, it will pave the way for more altcoin-based ETFs in the future.

Earlier this year, the SEC cleared Bitwise’s 19B-4 filing for its Bitcoin-Ethereum ETF. The fund is now nearer to listing and trading on NYSE Arca. The SEC’s ruling on the Aptos ETF will be watched closely because it has the potential to set an important precedent for subsequent altcoin ETFs in the U.S.

Bitwise has filed for an Aptos ETF, an event of note in the world of cryptocurrency. It shows that there are additional big investors who are interested in investing in altcoins which could make investing in cryptocurrencies even easier for others. It is, however, finally up to the SEC to decide if the ETF can go live. If it is approved, it will start a new era for investing in altcoin-based products.