Exchange-traded funds (ETFs) are one of the fastest-growing crypto segments in recent years. Amid this spontaneous surge in crypto ETFs, Bitwise Asset Management filed for a spot Uniswap ETF that tracks the price of the UNI governance token.
The firm filed an S-1 form with the Securities and Exchange Commission (SEC), the initial application process, before a new ETF goes live on a US public stock exchange. Uniswap is a decentralized exchange running on the Ethereum blockchain, and UNI is the platform’s governance token. Â
Bitwise’s Uniswap ETF is a debut move, as it is the first firm to launch a spot ETF tied to a Uniswap-based fund. Coinbase will act as a custodian to securely hold the real UNI tokens to back the ETF shares.
DeFi protocol ETFs signal a surge among crypto ETFs
Decentralized Finance (DeFi) protocol has seen growing institutional interest in several ETFs, such as AAVE ETF, ZEC ETF, and TAO ETF, apart from other increasing crypto ETFs. Bitwise previously filed for hundreds of crypto ETFs with the SEC, including the ones mentioned above.
For Uniswap, the filing for a spot ETF is great news amid its recent UNIfication proposal. This is the latest upgrade that helps switch Uniswap’s fee-capture mechanism, where it takes a portion of the fees to its protocol, rather than fully sharing it with liquidity providers (LPs) alone. These fees are then used to burn UNI governance tokens.   Â
Firms with notable crypto ETFs
As it is clear, there are a good number of crypto ETFs tracking the price of the different underlying cryptocurrencies. Specifically, as crypto regulations in the UK and the US are getting easier since 2025, more crypto ETFs are meeting investor demands.
REX-Osprey’s Dogecoin ETF is the first memecoin ETF ever launched in history. Grayscale, 21Shares, BlackRock’s IBIT, Canary Capital, and Fidelity are some of the prominent names in the industry. Â
As investors do not have to directly hold the actual crypto and firms will handle the assets, crypto ETFs are becoming a notable trend among crypto enthusiasts. According to Ripple CEO Brad Garlinghouse, crypto ETFs would expand beyond one to two percent of the entire ETF market.
Although crypto ETFs offer several advantages, they pose some drawbacks, such as the lack of direct crypto holding, limited exposure to blockchain utility, custody fees, limited staking benefits, and more.
Besides crypto, ETF is spread across traditional assets including gold, silver, and other commodities and equities.
