- On May 7, Bitwise Asset Management revealed that it is taking over as investment manager of the Superstate Crypto Carry Fund (USCC).
- This will be Bitwise’s first tokenized fund, and it will rename the fund as Bitwise Crypto Carry Fund while using the same ticker. Its transition is expected to be completed on June 1, 2026.
- The USCC fund will use the “cash-and-carry” strategy, which is a strategy to generate yield from the gap between the spot and futures prices for Bitcoin, Ethereum, Solana, and XRP.
On May 7, Bitwise, a leading crypto asset management company, announced the launch of its inaugural tokenized fund, Bitwise Crypto Carry Fund (USCC), in partnership with Superstate.
Amid the boom in the tokenized sector, this announcement from Bitwise has sparked euphoria among institutional investors.
This is not the new fund, but Bitwise is taking over as the investment manager of Superstate’s Crypto Carry Fund (USCC). However, it will change its name to the Bitwise Crypto Carry Fund while keeping its same ticker like before, along with smart contracts and token address. According to the official announcement, the process of transition is expected to be completed on June 1, 2026.
What is the USCC (Bitwise Crypto Carry Fund)?
USCC is a private tokenized fund that is only available for qualified investors. The fund generates yield through the cash-and-carry trade in the cryptocurrency market. This is also known as a basis trade. This technique helps the fund to generate yield from the usual premium that crypto futures prices trade at compared to spot prices for Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and XRP.
The USCC fund also comes with staking returns on Ether and investment in United States Treasuries to provide additional yield. This fund allows investors to hold their shares as USCC tokens on blockchains like Ethereum, Solana, and Plume. Apart from this, they can also choose the traditional book entry form.
As of April 30, the USCC fund has more than $267 million in assets under management, while the recent data says it is around $277 million. This impressive AUM comes from its growing demand among crypto-based institutional investors such as hedge funds, venture funds, corporations, vaults, wealthy individuals, and protocols. As per the recent official data, the fund is offering around 4.36%.
This fund will allow investors to gain exposure of crypto based investment without trading them.
This is the major announcement for institutional investors as the fund is directly coming from Bitwise and Superstate’s on-chain infrastructure. Also, it uses one of the best crypto yield strategies, which makes it attractive for institutional investors.
Amid the positive developments in the regulatory frameworks for digital assets, tokenized funds are actively grabbing the attention of major institutional investors as they offer numerous benefits. “Investors have become more interested in tokenized funds because they have the potential to leverage the unique characteristics of blockchains: 24/7 trading, utility in DeFi, transparency, and efficiency,” stated in the official post on X.
Apart from this, tokenized funds like USCC can be easily integrated with DeFi protocols for purposes like collateral. Institutional investors can quickly transact these funds, which is a major pain point in finance. In traditional finance, there is a limitation on timings for trading such funds.
Hunter Horsley, CEO of Bitwise, stated in the official press release, “Capital markets are moving on-chain. It’s happening fast, and tokenized investment strategies are a core part of this platform shift. We’re thrilled to join Superstate’s best-in-class infrastructure with Bitwise’s track record in crypto asset management to continue to expand access to the full range of opportunities for investors in crypto.”
Robert Leshner, Founder & CEO of Superstate, said, “We’re proud to welcome Bitwise as the investment manager of USCC. Bitwise is one of the most trusted names in crypto, and this partnership is a great example of what FundOS makes possible: world-class asset managers running tokenized funds on Superstate’s infrastructure.”
Growth of Tokenized Funds Like BUIDL & Tokenized U.S. Treasury Market
One of the major examples to understand the boom in the tokenized funds is the success story of BlackRock BUIDL, USD Institutional Digital Liquidity Fund. The fund was launched by BlackRock in 2024 on Ethereum through Securitize. This fund invests in United States Treasuries along with repurchase agreements and cash. After the launch, the fund became one of the largest tokenized funds.
According to the rwa.xyz, the total asset value locked in BUIDL is revolving around $2.63 billion. This fund is also working as collateral on platforms like Binance, as well as trades on Uniswap.
Apart from this, the Tokenized United States Treasury has also reached new heights thanks to growing demands. Recently, tokenized U.S. Treasuries have hit the mark of $15 billion in early May after soaring around $1.06 billion in the last 30 days.
In the last few months, the tokenized real-world asset sector without stablecoin has grown impressively. According to the on-chain data, the cumulative distributed asset value locked in tokenized assets is hovering around $31.12 billion after surging over 3% in the last 30 days.
On May 6, Ondo Finance, JPMorgan Kinexys, Mastercard, and Ripple announced that they executed the first cross-border and cross-bank redemption of a tokenized United States Treasury fund. According to the official statement, this transaction was executed in just 5 seconds on the XRP Ledger. In this transaction, they used a public blockchain network along with traditional banking infrastructure for real-time settlement.
This is not the first time a financial giant like JPMorgan has executed such settlements on blockchain networks, as it has already processed trillions of dollars in transactions on its blockchain platforms.
Apart from this, other examples of tokenized products include Superstate, which also has its own USTB fund. This fund is holding tokenized short-duration Treasuries.
While demand for tokenized securities is growing continuously, it is also facing opposition from naysayers. Groups like the World Federation of Exchanges (WFE) have requested regulators in the official statement to apply the same full securities rules to tokenized stocks.
Similarly, SIFMA (Securities Industry and Financial Markets Association) has also raised concerns about giving some exemptions for tokenized trading by saying that they might create a threat to investor protections.
Also Read: Tokenized Stocks Surge Past $1.5B as Wall Street Hits Record Highs
