Key Insights:
- Bitwise’s filing with the SEC aims to launch a spot ETF tracking SUI, signaling institutional interest in the token.
- SUI price saw a significant rebound of over 4.5% after Bitwise’s ETF filing, recovering from a two-week downtrend.
- The SEC’s approval process for the Bitwise Sui ETF may take up to 75 days under the new Generic Listing Standards.
Crypto asset manager Bitwise has formally initiated the process to launch a spot exchange-traded fund (ETF) that will track the Sui token. The firm submitted its Form S-1 filing to the U.S. Securities and Exchange Commission (SEC) on Thursday. This move comes after SUI had experienced a downturn in price, recovering over 4.5% from its recent monthly lows.
The proposed “Bitwise Sui ETF” would aim to directly mirror the spot market price of the SUI token. SUI serves as the native cryptocurrency of the Sui blockchain network, a layer-1 platform gaining traction within the crypto community. Bitwise’s filing marks the first official step in what could be a lengthy regulatory approval process.
Approval Process Could Take Up to 75 Days
The SEC has a clear process for reviewing ETF filings, with an initial review period of 30 days. If the commission provides feedback or requests revisions, Bitwise will need to submit amended filings. Once the SEC deems the filing effective, the ETF could start trading on a registered exchange. Under the recently implemented Generic Listing Standards, the SEC can complete this process in as little as 75 days. This is a major change compared to the previous framework, which often took much longer.
The filing for the Bitwise Sui ETF is part of a larger trend, with other firms like Canary Capital, 21Shares, and Grayscale also aiming to launch spot SUI ETFs. Though no Sui spot ETF has been cleared yet, 21Shares’ application is nearing a decision, with a ruling expected by December 21. The approval of the first spot Sui ETF would mark a significant milestone for the market.
Leveraged SUI ETF Already Approved
In the meantime, a different SUI-linked ETF has already launched. Earlier this month, the SEC approved a leveraged SUI ETF from 21Shares. The 21Shares 2x Long SUI ETF, which aims to double SUI’s daily performance, started trading on Nasdaq in early December. This product offers exposure to SUI but does not directly hold the underlying token.
Bitwise, however, is already involved with SUI. The firm added the token to its 10 Crypto Index ETF, which is trading on the New York Stock Exchange. The recent ETF filing further solidifies Bitwise’s commitment to supporting SUI’s growth.
SUI’s price, which had been in a steady decline since the beginning of December, rebounded sharply after the filing news went public. By late Thursday, the price had surged over 4.5%, recovering from lows near $1.33. This price movement indicates growing optimism surrounding the token, especially as institutional interest in SUI increases.
