Key Takeaways
- • Bitwise Asset Management completed a $70 million equity raise led by Electric Capital, with participation from MassMutual, Highland Capital, MIT Investment Management Company, Haun Ventures, ParaFi Capital, Khosla Ventures, General Catalyst, Blockchain Coinvestors, and Nikesh Arora.
- • Bitwise reports client assets grew more than 10x during 2024 to over $12 billion across its beta, alpha, and onchain solutions business lines.
- • Proceeds will strengthen the firm's balance sheet and fund buildout of investment capabilities and investor solutions across its 32-product suite.
- • Bitwise serves more than 5,000 wealth teams, RIAs, family offices, and institutional clients in the U.S. and Europe, and plans to grow headcount from more than 100 to more than 130 this year.
Summary
Bitwise Asset Management, a crypto-specialist asset manager, announced the completion of a $70 million equity raise, according to the firm's announcement. The round was led by Electric Capital, with participation from MassMutual, Highland Capital, MIT Investment Management Company, Haun Ventures, ParaFi Capital, Khosla Ventures, General Catalyst, Blockchain Coinvestors, and Nikesh Arora, among others.
The firm attributed its growth to a sharp expansion in 2024, when client assets rose more than tenfold to over $12 billion across its three core business lines: beta, alpha, and onchain solutions. Bitwise currently offers 32 investment solutions, including yield and alpha strategies, multi-strategy solutions, separately managed accounts, onchain staking, index funds, and bitcoin ETPs. The company's boilerplate describes a broader suite of more than 70 products spanning ETFs, separately managed accounts, private funds, DeFi strategies, and staking, with $9 billion in client assets, a figure that predates the 2024 growth cited in the release.
CEO Hunter Horsley framed the raise in institutional terms, saying crypto is "coming into its own as an increasingly institutional and unique alternative asset class," following the path of private equity, private credit, and high-yield bonds. He said the firm has been a partner to clients for seven years and that the new backing comes from both new and existing investors.
Proceeds will bolster the firm's balance sheet and support investment capabilities and investor solutions. Bitwise has offices in San Francisco, New York, and London, employs more than 100 technology and investment professionals, and plans to grow to more than 130 staff this year. The firm says more than 5,000 wealth teams, RIAs, family offices, and institutional clients in the U.S. and Europe use its products, along with more than 15 banks, broker-dealers, and platforms.
The firm attributed its growth to a sharp expansion in 2024, when client assets rose more than tenfold to over $12 billion across its three core business lines: beta, alpha, and onchain solutions. Bitwise currently offers 32 investment solutions, including yield and alpha strategies, multi-strategy solutions, separately managed accounts, onchain staking, index funds, and bitcoin ETPs. The company's boilerplate describes a broader suite of more than 70 products spanning ETFs, separately managed accounts, private funds, DeFi strategies, and staking, with $9 billion in client assets, a figure that predates the 2024 growth cited in the release.
CEO Hunter Horsley framed the raise in institutional terms, saying crypto is "coming into its own as an increasingly institutional and unique alternative asset class," following the path of private equity, private credit, and high-yield bonds. He said the firm has been a partner to clients for seven years and that the new backing comes from both new and existing investors.
Proceeds will bolster the firm's balance sheet and support investment capabilities and investor solutions. Bitwise has offices in San Francisco, New York, and London, employs more than 100 technology and investment professionals, and plans to grow to more than 130 staff this year. The firm says more than 5,000 wealth teams, RIAs, family offices, and institutional clients in the U.S. and Europe use its products, along with more than 15 banks, broker-dealers, and platforms.
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