Bitwise CIO Highlights Active Digital Asset Trusts Outperform ETFs, Boosting Investor Confidence
Quick Breakdown:
- Matt Hougan highlights that active digital asset trusts (DATs) have demonstrated superior returns compared to exchange-traded funds (ETFs), reflecting a shift in investor behaviour.
- This outperformance underscores the growing adoption of actively managed crypto products, indicating a maturing market where expertise and active management are increasingly valued.
- The success of active management in crypto draws parallels to the early growth phases of traditional ETFs in the 2000s, where investor education and trust were pivotal.
Bitwise CIO highlights the outperformance of active digital asset trusts over ETFs
Matt Hougan, Chief Investment Officer of Bitwise Asset Management, recently emphasized that active digital asset trusts (DATs) are showing stronger performance compared to traditional crypto ETFs. He suggests that this trend indicates a growing preference among investors for products that offer active management expertise rather than passive exposure alone. DATs, which offer a curated investment approach to digital assets , are capturing market interest by adapting quickly to the dynamic cryptocurrency landscape.
1/ A lot of people have asked me what I think of DATS. My view: Some DATs should trade above NAV and others should trade below NAV.
A thread on how to tell the difference.
— Matt Hougan (@Matt_Hougan) November 5, 2025
Hougan’s insights align with Bitwise’s broader strategy of delivering diversified, actively managed crypto investment products that leverage profound market insights and robust risk management. The attention to active strategies comes amid increasing institutional adoption and the launch of new ETF and trust products, showcasing a maturing digital asset investment ecosystem.
Evolving Crypto investment landscape favours expertise and active management
The rising outperformance of active DATs relative to ETFs reflects a broader shift in crypto investment behaviour. While ETFs provide easier, passively managed access to cryptocurrencies, active trusts can capitalize on market inefficiencies and asset rotations that passive funds might miss. This has prompted Bitwise and other major asset managers to expand their active offerings, complementing their established ETF suites.
Hougan underscores that the success of active management in crypto draws parallels to the early growth phases of traditional ETFs in the 2000s, where investor education and trust were pivotal. As the crypto market matures, investors appear increasingly willing to favour active products capable of navigating volatility and leveraging market dynamics to deliver enhanced returns.
Meanwhile, Bitwise expands its product line by launching $BSOL, a Solana Staking ETF, offering 100% direct exposure to spot SOL with a goal of maximizing returns through 100% asset staking to capture Solana’s over 7% annual reward rate. This provides traditional investors with regulated access to Solana’s growth and staking yields, bypassing direct wallet management, though the investment carries high risk and volatility. An initial three-month waiver of the 0% management fee is offered.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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