Hybrid 60/40 Structure Targets Aave, Uniswap, and Near
Asset manager Bitwise filed for 11 new single-asset ETFs with the SEC on December 30, initiating a broad campaign to bring DeFi, privacy, and AI-linked tokens to NYSE Arca. The market response was immediate and counterintuitive: prices for the targeted assets drifted lower, signaling deep investor fatigue regarding regulatory catalysts.
The filings detail a specific “Strategy” structure for assets including Aave (AAVE), Uniswap (UNI), Sui (SUI), Near (NEAR), and Zcash (ZEC). Unlike the spot Bitcoin and Ethereum funds approved in 2024, these vehicles propose a hybrid composition: 60% direct token exposure and 40% allocated to exchange-traded products (ETPs) and derivatives. The effective date is set for March 16, 2026, though SEC delays remain a standard procedural hazard.
The 60/40 Regulatory Hedge
Bitwise’s “Strategy” designation is a calculated maneuver. By capping direct exposure at 60%, the firm appears to be navigating the SEC’s lingering hesitation regarding the “investment company” status of issuers holding 100% illiquid altcoins. The remaining 40% basket of derivatives and ETPs functions as a regulatory buffer, mimicking the structures used in early futures-based crypto funds.
The full roster targets distinct sectors:
- DeFi: Aave (AAVE), Uniswap (UNI), Ethena (ENA), Hyperliquid (HYPE)
- L1 Infrastructure: Sui (SUI), Near (NEAR), Tron (TRX), Canton (CC)
- Privacy/AI: Zcash (ZEC), Bittensor (TAO), Starknet (STRK)
The Fund will derive its exposure… by investing up to 60% of its assets directly… and at least 40% in securities issued by exchange-traded products. Form N-1A Filing
Market Apathy Sets In
Traders sold the news. In the 48 hours following the filing, the targeted basket underperformed the broader market. Uniswap (UNI) dropped 3.7% to trade near local lows, while Aave (AAVE) slid 3.3%. Even high-beta assets like Bittensor (TAO) remained flat (-0.5%), failing to catch a speculative bid.
The muted reaction suggests the market has priced in the regulatory bottleneck. With the effective date months away, institutional capital is refusing to front-run the SEC’s review process, leaving the tokens to drift on spot volume alone.
