San Francisco-based cryptocurrency index fund manager Bitwise Asset Management has acquired London-based competitor ETC Group, signalling its expansion into the European markets.
ETC Group, with over $1 billion in assets under management, owns BTCE, currently the largest physical bitcoin exchange-traded products (ETP) in Europe.
ETC’s suite of ETPs, which also include popular Ethereum, Solana and Ripple funds, are physically backed by the underlying cryptocurrencies, similar to US-style exchange-traded funds (ETFs).
Bitwise intends to rebrand these ETPs in the coming months.
ETC Group co-founder Bradley Duke told Proactive: “Bitwise and ETC Group have been working independently in different regions to deliver best-in-class digital asset investment products.
“Both are known for quality and excellence and today the two companies unite under the single Bitwise banner creating one of the largest global pure-play digital asset managers.
“We are all so excited to now be part of the Bitwise team and to continue to provide innovative products to investors globally.”
The news follows a major upheaval of the global crypto-backed index funds after the US Securities and Exchange Commission approved these products in January.
Since then, some of the world’s largest asset managers, including BlackRock, VanEck and Fidelity, have launched competing products.
The UK Financial Conduct Authority gave the green light for physically backed crypto ETFs in May, though restrictions remain in place for retail investors.