Bitwise Sui ETF Filing Joins Growing Layer-1 ETF Race

Bitwise has filed with the U.S. Securities and Exchange Commission (SEC) to launch a Sui ETF. This move adds Bitwise to the growing list of companies aiming to create exchange-traded funds that track the native token of the Sui blockchain.

Other firms, including Canary Capital and 21Shares, are already in the race. The trend shows rising interest in layer-1 blockchain tokens from traditional finance players.

What This Means for Investors

A Sui ETF would allow investors to gain exposure to the token without directly buying it. ETFs offer a regulated and accessible way to invest in digital assets.

Experts believe such products could attract more institutional and retail investors. ETFs can also reduce risks associated with holding tokens directly, such as security and custody issues.

For Sui, this could mean wider adoption and greater market attention. More funds tracking the token may increase liquidity and trading volumes.

The Growing Layer-1 Blockchain ETF Trend

Layer-1 blockchains like Sui provide the foundation for decentralized applications. They are gaining attention for fast transactions and scalability.

Several firms now see potential in launching ETFs for these networks. Canary Capital and 21Shares have already submitted similar proposals. Bitwise’s filing signals that competition is intensifying.

The race for approval shows that traditional finance is increasingly interested in digital assets. Regulators, however, will carefully review these filings before allowing ETFs to launch.

SEC Filing and Next Steps

The SEC will now review Bitwise’s proposal. This process can take weeks or months. The regulator evaluates compliance, investor protection, and market risks.

If approved, the Bitwise Sui ETF would become one of the first regulated products tracking the blockchain’s native token. Investors could then access Sui exposure through brokerage accounts and retirement funds.

What Comes Next for Sui

If ETFs launch successfully, Sui could see stronger market growth. More investors may be encouraged to participate, leading to higher token demand.

Additionally, ETF approval may signal confidence in the network’s long-term potential. Analysts say this trend could extend to other promising layer-1 blockchains in the near future.

The Bitwise Sui ETF filing marks another step in integrating digital assets with mainstream finance. With competition from Canary Capital and 21Shares, the Sui ETF race is shaping up to be closely watched in 2025.