Bitwise files an application for a Spot SUI ETF in the United States

Bitwise, the asset manager specializing in crypto, has officially filed an S-1 form with the Securities and Exchange Commission (SEC) to launch a Sui spot ETF in the United States.

A strategic filing positioning SUI among sought-after assets

On Thursday, Bitwise filed an S-1 form with the SEC to register a new crypto product, notably the “Bitwise Sui ETF.” It is a spot ETF backed by the SUI token. The filing officially launches the regulator’s review process. Indeed, this is the first step before a possible listing on a U.S. stock exchange.

According to the filing, this crypto ETF is designed to track the spot price of SUI. Bitwise has not yet indicated a ticker. However, it specifies that Coinbase Custody is expected to serve as the fund’s asset custodian if the product is approved.

If given the green light, the ETF would allow investors to gain exposure to SUI via a regulated vehicle, without directly holding the token or managing a crypto wallet.

Launched in mid-2023, this layer 1 blockchain was designed to address a recurring issue in the sector, notably scalability. Sui relies on high transaction rates, parallel execution, and smoother digital asset management.

This filing from Bitwise places SUI in a still small circle of cryptos seeking institutional recognition through regulated investment products in the United States. To date, no SUI spot ETF has been launched on the American market, despite growing demand.

Bitwise has not yet announced an official ticker for the fund. However, it is known that Coinbase Custody is expected to safeguard the fund’s assets. This is a logical choice. Indeed, Coinbase has established itself as one of the reference custodians for crypto ETFs in the United States.

Increasing competition around SUI ETFs

Bitwise is not alone in this field. Canary Capital and 21Shares also filed similar applications in the spring, respectively in March and April. Market attention is particularly focused on the 21Shares filing. Meanwhile, the SEC’s decision is expected next month.

Earlier in May, the regulator already approved a 2x leveraged SUI ETF offered by 21Shares. This decision was seen as a signal of openness, although spot products remain subject to stricter scrutiny.

This dynamic fits into a more flexible regulatory context. The SEC recently implemented generic listing standards for crypto ETFs. It thus significantly simplifies the process for issuers. As a result, filings are stacking up and launch schedules are accelerating.

Bitwise bets on an explosion in the crypto ETF market

Bitwise is gradually expanding its product range as the regulatory environment evolves. Earlier this month, the company added SUI to its Bitwise 10 Crypto Index ETF, listed on the New York Stock Exchange.

Bitwise describes Sui as a fast, secure blockchain suited for large-scale adoption. Already present with spot Bitcoin and Ether ETFs, Bitwise also launched a spot XRP ETF this year. It thus strengthens its exposure to the most capitalized crypto assets.

According to Ryan Rasmussen, a researcher at Bitwise, the pace will only intensify. In a recent interview, he mentioned more than 100 potential new crypto ETFs by 2026, driven by fierce competition among issuers.

With a market capitalization of about $4.98 billion, SUI is now ranked 31st globally. Its blockchain has also integrated bitcoin into DeFi via sBTC, LBTC, and WBTC. The approval of a spot ETF could act as a major catalyst, opening access to a new wave of institutional and traditional investors.