Bitwise Asset Management is preparing to transition shares of its exchange-traded funds onto a blockchain, starting with a potential tokenized version of its Solana staking product.
The crypto asset management firm has partnered with Superstate to develop infrastructure that will allow investors to own specific shares of Bitwise funds as blockchain-based tokens. This plan does not involve creating new securities or altering the underlying fund. Instead, tokenization will change the method of recording ownership rights.
"Investors will continue to purchase the same shares of the respective fund with the same rights through the same channels as they do today," Bitwise stated.
Shareholders will then be able to choose between traditional ownership record-keeping via the Depository Trust Company and a tokenized record maintained through Superstate's transfer agent infrastructure.
BSOL Could Be the First Fund to Move to Blockchain
Bitwise expects its Solana Staking ETF, trading under the ticker BSOL, to be the first fund offered with a tokenized option.
Tokenized shares will possess the same rights as traditional shares. However, they will not be freely transferable outside the approved record-keeping system, limiting the ability for unrestricted movement characteristic of many crypto tokens.
This concept reflects a broader trend in traditional finance: placing regulated securities on a blockchain without changing their legal status.
Superstate specializes in helping issuers and asset managers move securities onto blockchains. Under the proposed structure, its infrastructure will maintain blockchain-based ownership records while preserving the fund's existing regulatory framework.
Bitwise cautioned that this initiative remains subject to legal and regulatory requirements. There is no guarantee that tokenized shares will become available for BSOL or any other fund.
Push for Tokenization Occurs Amid Cost-Cutting
This partnership expands Bitwise's efforts to integrate regulated investment products with crypto-native infrastructure.
Bitwise manages approximately $9 billion in client assets across more than 70 products, including ETFs, private funds, separately managed accounts, decentralized finance strategies, and staking products.
The push for tokenization comes amid internal restructuring. Earlier this week, Bitwise confirmed a 14% workforce reduction, bringing its total global headcount to 155 employees.
The timing highlights two parallel priorities: controlling costs while continuing to invest in new distribution models.
If the Superstate platform progresses, Bitwise will offer investors two ways to own the same fund share: one through traditional market infrastructure and another with registration on the blockchain.
This distinction may prove significant. The next phase of tokenization is less about creating new assets and more about changing the infrastructure underlying existing ones.
