Bitwise Asset Management is expanding its ETF suite beyond pure-play crypto exposure. The asset manager has introduced its first-of-its-kind strategy that bundles Bitcoin with traditional stores of value like gold, silver, and mining equities.
The Bitwise Proficio Currency Debasement ETF (NYSE: BPRO), which began trading today, pitches itself as a "new weapon" for investors looking to shield their portfolios from what the firm describes as the "unstoppable train of reckless spending" by global governments.
The ‘debasement’ trade
The launch of BPRO comes as the "fiscal dominance" narrative, the idea that government debt levels are forcing central banks to perpetually devalue their currencies, gains traction in both crypto and traditional finance circles.
Bitwise CEO Hunter Horsley took note of the convergence of these asset classes. Bitcoin, precious metals, and miners are often viewed as distinct sectors, but they share a common investment thesis: "All are ways investors position to benefit from currency debasement."
In its launch announcement, Bitwise cited stark macroeconomic figures to justify the product’s launch. The U.S. dollar has lost roughly 40% of its purchasing power since 2006. U.S. federal debt has quintupled over the last two years to nearly $40 trillion. Interest payments on that debt now exceed $1 trillion annually.
Active management
Unlike Bitwise’s passive spot Bitcoin ETF (BITB), BPRO is an actively managed vehicle. The fund seeks to rotate exposure between Bitcoin, physical metals, and mining stocks based on market cycles and relative valuation.
To execute this strategy, Bitwise has partnered with Proficio Capital Partners, a multi-family office and investment advisory firm with $5 billion in assets under management (AUM).
Gamza Khanzadaev
Arman Shirinyan
Dan Burgin
Alex Dovbnya
