Crypto Asset Fund Manager Bitwise to Donate Portion of Bitcoin ETF Profits
Bitwise Asset Management plans to use 10% of the profits from its Bitwise Bitcoin ETF (BITB) to support Bitcoin open-source development. The company will donate these funds to three non-profit organizations that fund Bitcoin core developers. Bitwise CEO Hunter Horsley expressed his excitement about being able to support the “unsung heroes” who have been contributing to Bitcoin since its inception. He emphasized that Bitcoin has always been maintained by a dedicated community of open-source developers.
Approval of Spot Bitcoin ETFs by the SEC
The recent approval by the United States Securities and Exchange Commission (SEC) of 11 spot Bitcoin exchange-traded fund (ETF) applications allows traditional asset managers to offer clients exposure to Bitcoin through an ETF. This is expected to attract investors who have previously not owned Bitcoin. Bitwise clarified that the donations it makes will not be repaid and aims to contribute to the expansion of the Bitcoin industry for at least the next 10 years.
Bitwise Receivers Demonstrated Credibility
The recipients of the donations were selected based on their mission and established track record of funding Bitcoin open-source development. One of the recipients, Brink, emphasized the importance of supporting Bitcoin Core Development in a sustainable way, particularly in light of the approval of a Bitcoin ETF.
Hot Take: Supporting Open-Source Development for Bitcoin’s Future
Bitwise Asset Management’s decision to donate a portion of its Bitwise Bitcoin ETF profits towards supporting open-source development within the Bitcoin community is a significant step towards ensuring the long-term sustainability and growth of the cryptocurrency. By recognizing and supporting the contributions of core developers, Bitwise is contributing to the continued innovation and advancement of Bitcoin technology. This move also highlights the increasing mainstream acceptance and integration of Bitcoin, as evidenced by the SEC’s approval of spot Bitcoin ETFs. Overall, this initiative strengthens the foundation of the Bitcoin ecosystem and paves the way for further development and adoption in the future.
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