Bitwise has taken another step in bringing altcoin exposure to mainstream investors. The asset manager filed a Form S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) for a proposed Bitwise Chainlink ETF, an exchange-traded product designed to hold Chainlink’s native token, LINK.
If approved, the fund would trade on a U.S. exchange under a ticker yet to be disclosed, offering investors regulated exposure to LINK without the need to custody tokens directly.
The ETF is structured as a Delaware statutory trust. Its primary objective is to track the price of Chainlink by holding LINK tokens in custody, with its Net Asset Value (NAV) tied to the CME CF Chainlink–Dollar Reference Rate (New York Variant), a benchmark administered by CF Benchmarks.
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Shares will be created and redeemed in blocks of 10,000, with authorized participants able to transact in either LINK or U.S. dollars. As with other crypto ETFs, secondary market trading may result in premiums or discounts relative to NAV.
Despite the ETF filings, LINK tokens still remain around 5% down in the last 24 hours.
Bitwise has appointed Coinbase Custody Trust Company, LLC as custodian, responsible for safeguarding LINK reserves. Assets will not be FDIC-insured, but Coinbase Custody maintains private insurance policies.
source: https://beincrypto.com