Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
Home»ADOPTION NEWS»Bitwise said Bitcoin received in ETF wallets will benefit fund shareholders.
ADOPTION NEWS

Bitwise said Bitcoin received in ETF wallets will benefit fund shareholders.

By Crypto FlexsJanuary 26, 20243 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Bitwise said Bitcoin received in ETF wallets will benefit fund shareholders.
Share
Facebook Twitter LinkedIn Pinterest Email

Earlier this week, Bitwise became the first Bitcoin exchange-traded fund issuer to issue a wallet for its fund, and it wasn’t long before the wallet started receiving unexpected gifts.

Some users sent small amounts of Bitcoin to their wallets as follows: 0.00042069 BTC

+3.58%
. Others sent BRC-20 tokens, Bitcoin domain names, and various Bitcoin NFTs to their wallets. The purses totaled more than $5,000.

Commenting on all of this, Bitwise CIO Matt Hougan said, “All assets are accrued for the benefit of BITB shareholders.”

If Bitwise receives assets involuntarily, it may sell those assets for cash and distribute the cash proportionately to shareholders, according to the fund’s S-1 filing. A previous version of the S-1 stated that such assets could be distributed in-kind, but this language was removed prior to approval.

What about OFAC approved addresses?

Cryptocurrency critics have raised another issue related to the fund. The U.S. Treasury has approved some Bitcoin wallet addresses and any wallets that receive funds from those addresses must block the Bitcoin they receive and report the transaction information to the Office of Foreign Assets Control.

Bitcoin wallets are problematic because they cannot prevent funds from being transferred. Anyone can send Bitcoin to any wallet. The recipient cannot prevent the funds from entering their wallet.

Hougan said the issue is addressed at the custodian level. Bitwise currently uses cryptocurrency exchange Coinbase as its custody service provider. When asked for comment, a Coinbase spokesperson said the exchange blocks OFAC-approved addresses. When asked how they can do so, they responded, “We work with our clients to ensure their funds are blocked and reported in accordance with the law.”

The spokesperson also pointed to a Coinbase blog post that said, “If we receive a notification that an attempt has been made to send to or receive from an authorized address, the funds will be transferred to an internal Coinbase holding account and held securely.”


Disclaimer: The Block is an independent media outlet delivering news, research and data. As of November 2023, Foresight Ventures is a majority investor in The Block. Foresight Ventures invests in other companies in the cryptocurrency space. Cryptocurrency exchange Bitget is an anchor LP of Foresight Ventures. The Block continues to operate independently to provide objective, impactful and timely information about the cryptocurrency industry. Below are our current financial disclosures.

© 2023 The Block. All rights reserved. This article is provided for informational purposes only. It is not provided or intended to be used as legal, tax, investment, financial or other advice.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025

Gala Games improves leader board rewards and introduces preference systems.

June 20, 2025

Ether Leeum Whale starts a $ 11 million leverage betting in the 30% increase in ETH prices.

June 12, 2025
Add A Comment

Comments are closed.

Recent Posts

Checkpoint #4: Berlinterop | Ether Leeum Foundation Blog

June 28, 2025

TRON Price Propects USDT supply exceeded $ 80 billion

June 28, 2025

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025

No Altcoin Season 2025 ? Why Bitcoin Dominance Is Holding Strong In The Crypto Market

June 28, 2025

Why It Matters For Every Crypto Investor

June 27, 2025

Why It Matters For Every Crypto Investor

June 27, 2025

Safe smart account audit summary

June 27, 2025

CARV’s New Roadmap Signals Next Wave Of Web3 AI

June 27, 2025

CARV’s New Roadmap Signals Next Wave Of Web3 AI

June 27, 2025

Bybit Expands Global Reach With Credit Card Crypto Purchases In 25+ Currencies And Cashback Rewards

June 27, 2025

BYDFi Joins Seoul Meta Week 2025, Advancing Web3 Vision And South Korea Strategy

June 27, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

Checkpoint #4: Berlinterop | Ether Leeum Foundation Blog

June 28, 2025

TRON Price Propects USDT supply exceeded $ 80 billion

June 28, 2025

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025
Most Popular

Bitcoin (BTC) price surpasses $106,000 as new FASB rules take effect.

December 16, 2024

Binance Alpha point rise, retail investors face difficulties

June 10, 2025

Binance provides free OL tokens -there is something you need to know here.

June 8, 2025
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.