Bitwise Files for Spot SUI ETF, Joining 21Shares and Canary Capital

Bitwise Spot SUI ETF Filing Signal Growing Confidence in Sui Ecosystem

Highlights:

• Bitwise has submitted a Form S-1 to the SEC to roll out a spot SUI ETF, following 21Shares and Canary Capital.

• The proposed exchange-traded fund is directly exposed, Coinbase custody and has the potential for staking rewards.

• SUI price recovered more than 4.5% as ETF momentum builds on a more crypto-friendly SEC.

Source: CoinMarketCap X

Bitwise Files for Spot SUI ETFs with SEC

The firm submitted a Form S-1 to the U.S. Securities and Exchange Commission (SEC) on December 19, 2025, to roll out the Bitwise ETF, a fund that would track the token price, the native token of the blockchain. 

The relocation puts the crypto asset manager in the same competition with Canary Capital, 21Shares, and Grayscale, all of which are looking towards the launch

The filing coincides with a period where institutional interest in altcoin ETFs is picking up, after the Bitcoin and Ethereum ETFs were approved previously, and a wider regulatory trend of crypto-friendly structures.

What does the Bitwise plan offer?

• According to the SEC filing, this ETF would provide investors with direct spot exposure to the tokens, rather than relying on futures or derivatives. 

• Coinbase Custody is named as the custodian, ensuring institutional-grade storage and security for the underlying tokens.

Source: SEC official website

• One notable feature is the inclusion of staking rewards. If approved, the exchange-traded fund could earn additional tokens through staking, potentially enhancing returns for investors over time. 

• The filing also outlines in-kind creations and redemptions, meaning transactions could be settled directly in SUI instead of cash—an approach increasingly favored in modern Bitwise crypto ETFs. 

• Bitwise has not announced the ticker symbol and listing exchange of the exchange-traded fund yet.

Why SUI ETFs Are Gaining Attention?

The blockchain is a high-throughput layer-1 blockchain launched in 2023 and is aimed at scalability and high-throughput transaction processing. The project is currently among the top 35 cryptocurrencies in the world with a market capitalization of approximately $5 billion.

The growth has been further driven by the fact that the SEC recently approved a 2x leveraged ETF by 21Shares, despite the fact that none of them is yet approved in the U.S.

Market Reaction to the Filing

• After the news, the blockchain has regained its lost ground and increased by more than 4.5% at some point. 

• SUI price is currently trading at around $1.42, up 1.58% on the day with a high 24-hour trade volume of $1.08 billion and a market capitalization of $5.32 billion. 

• Although the token is still down every week, analysts consider filings as long-term movers as opposed to short-term price movers.

Source: CMC

Regulatory Outlook and What’s Next

The agency has also, under SEC Chair Paul Atkins, issued generic listing standards that have shortened ETFs approval period, which took up to 240 days to qualify a product, to as short as 75 days. This move has already spurred a surge of altcoin ETFs applications, such as those based on XRP, SOL, and DOGE.

An official ruling on the application of 21Shares spot SUI ETF is soon to come, which may lead to a precedent among others, such as Bitwise. With approvals proceeding at the same rate, a US-listed SUI ETF could soon be a reality and could enhance accessibility and liquidity to the ecosystem.

Conclusion

As the regulatory timelines become shorter and several issuers are competing, this can soon be launched in the U.S., which can increase liquidity, adoption, and long-term trust.

Disclaimer: This is not financial advice. Please DYOR before investing. CoinGabbar is not responsible for any financial losses. Crypto assets are highly volatile, and you can lose your entire investment.