The US Securities and Exchange Commission on Thursday approved part of an application for a novel exchange-traded fund that would track the two largest cryptocurrencies.

In December, Hougan and Bitwise’s head of research, Ryan Rasmussen, predicted that Bitcoin ETF inflows in 2025 would surpass those of 2024. The pair said the funds ended 2024 with $33.6 billion in inflows, while analysts at the time of their launch in January 2024 expected them to only bring in up to $15 billion.

The Bitwise Bitcoin and Ethereum ETF from Bitwise Asset Management would seek to provide investors with a balanced exposure to the two digital assets, weighted by their market capitalization. The structure of the fund will be similar to existing ETFs that hold either Bitcoin or Ether directly.

Bitwise's product, launched with the New York Stock Exchange, gives investors exposure to both spot bitcoin (BTC) and ethereum (ETH), weighted by market capitalization. NYSE Arca filed a 19b-4 form with the SEC last November.

The US Securities and Exchange Commission has given initial approval to Bitwise Asset Management’s exchange-traded fund tracking the price of Bitcoin and Ethereum. The regulator on Jan. 30 approved the fund’s form 19b-4 — the first step in the process that would allow the ETF to start trading.

The SEC has expedited the approval of Bitwise's combined $BTC and $ETH ETF, marking a stark contrast from the Gensler SEC's waiting period for approving similar offerings.