Bitwise has entered the race to bring a regulated SUI product to U.S. investors, filing with the SEC to launch a spot SUI ETF that would hold the native token of the Sui Layer 1 blockchain. Regulatory documents show Coinbase Custody Company has been named the fund’s custodian; the filing says the ETF would track SUI’s market value, minus operational expenses. Bitwise did not disclose an ETF ticker or sponsor fee in the submission.
The move joins a growing slate of institutional applications for SUI exposure. Canary Capital was first to file in March, and 21Shares recently filed — and brought to market — a leveraged 21Shares 2x SUI ETF, according to filings. To date, none of the spot SUI ETF proposals have received SEC approval.
SUI is currently the 31st-largest crypto by market capitalization and serves as the native token of the Sui blockchain, a Layer 1 network that traces its origins to Meta’s former Diem project. Interest in token-based ETFs has been rising after recent launches tracking XRP, DOGE and SOL, and asset managers see regulated ETFs as a route to broaden investor access to emerging blockchain assets.
The filing arrives amid a still-cautious regulatory backdrop. The SEC under the Biden administration has taken a tougher enforcement stance toward major crypto players, even as it has moved to create clearer listing standards for certain ETFs. Agency statements suggest regulators are working to balance investor protection with pathways for mainstream investment products; some industry observers point to recent agency actions under SEC Chair Paul Atkins as part of that shift.
Industry analysts say a spot SUI ETF approval could make it easier for traditional investors to gain Layer 1 token exposure within familiar, regulated wrappers — potentially boosting liquidity and broader adoption of the Sui ecosystem if cleared by regulators.
Read more AI-generated news on: undefined/news
