Bitwise Raises $134M From Institutions for Crypto-TradFi Blend

Bitwise Asset Management raised $134 million from institutional investors to develop fund strategies that combine digital assets with traditional investment structures, the firm said. The capital comes from pension funds, endowments, and family offices, according to a person familiar with the round.

Bitwise plans to launch products targeting two audiences. Crypto-native investors will get direct exposure to digital assets with staking yields and on-chain transparency. Traditional allocators will see registered funds and separately managed accounts that fit existing compliance frameworks. The firm said it will build both sets of products without forcing a choice between the two approaches.

The raise lands at a moment when asset managers are racing to serve institutional demand for crypto. BlackRock and Fidelity already offer spot Bitcoin ETFs. Goldman Sachs runs a digital asset desk. Bitwise is betting it can capture the middle ground – regulated vehicles that hold crypto with custody, audit trails, and boardroom-ready risk controls. That gap between what institutions want and what crypto-native products deliver remains wide, and the $134 million buys the team and infrastructure to fill it faster than most competitors.

Bitwise did not disclose a lead investor or valuation for the round. The firm said it will use the funds to hire staff across product, compliance, and distribution. The regulatory environment stays a constraint. Bitwise said it will rely on SEC-registered fund structures and existing securities laws to keep its offerings compliant. That approach limits flexibility but gives institutional investors the comfort needed to write large checks.

For traditional asset managers, the risk is timing. Firms that wait for full regulatory clarity before building digital asset products may fall behind when mandates shift. Pension funds are already asking about Bitcoin exposure, and endowments are allocating to tokenized real estate. Bitwise is positioning its new fund strategies to answer that question before the competition does.

The $134 million raise gives Bitwise room to move faster than most peers. The firm said the capital will accelerate its product roadmap, with new vehicles expected within the next year.