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Bitwise Asset Management filed for a spot Sui ETF with the Securities and Exchange Commission, seeking to become the first asset manager to offer U.S. investors regulated exposure to the Layer 1 blockchain token through traditional brokerage accounts.
The Form S-1 registration statement, submitted this week, would use Coinbase Custody to hold the fund’s SUI tokens and marks Bitwise’s latest expansion into alternative crypto ETFs following recent launches tied to Bitcoin, Ether and XRP.
Bitwise’s application positions it among the early movers seeking to bring SUI into regulated investment wrappers in the U.S.
According to the filing, the proposed ETF would track the spot price of SUI, the utility token that powers the Sui Network, a Layer 1 blockchain launched in mid-2023 with a focus on high throughput and scalable digital asset ownership.
While the firm has not yet disclosed a ticker symbol, it expects Coinbase Custody to act as custodian for the fund’s underlying assets, continuing a partnership that already underpins several U.S.-listed crypto ETFs.
“Spot ETFs remove significant friction for investors who want exposure without managing private keys or wallets,” said Ryan Rasmussen, Head of Research at Bitwise, speaking earlier on the *Bankless* podcast.
“And now we’re going to accelerate forward at crazy speed,” – Ryan Rasmussen, Head of Research, Bitwise.
Bitwise already offers spot Bitcoin and Ether ETFs and expanded its lineup this year with a spot XRP ETF, giving it one of the broadest crypto ETF portfolios among U.S. issuers.
The proposed Sui ETF would extend that strategy to newer blockchain ecosystems that are gaining developer and institutional attention.
The filing reflects growing institutional curiosity around SUI, which currently has a market capitalization of roughly $4.98 billion, ranking it among the top 35 cryptocurrencies globally.
Designed to handle parallel transaction execution, the Sui Network markets itself as a faster and more scalable alternative to earlier Layer 1 blockchains.
Earlier this month, Bitwise added SUI to its Bitwise 10 Crypto Index ETF, which trades on the New York Stock Exchange. The inclusion was widely interpreted by market participants as a vote of confidence in the network’s long-term viability.
In its public materials, Bitwise has described Sui as a blockchain that emphasizes speed, security, and ease of digital asset ownership criteria the firm says are essential for real-world adoption at scale.
“Adding an asset to a flagship index product signals that we believe it can play a durable role in the crypto ecosystem,” — a Bitwise spokesperson said in a statement accompanying the index update.
ETFs have historically acted as demand catalysts by opening the door to retirement accounts, registered investment advisers, and institutions that are restricted from buying tokens directly. Analysts note that similar dynamics helped drive inflows into Bitcoin ETFs after their approval in January.
Bitwise is not alone in its bid. Canary Capital and 21Shares both filed for spot SUI ETFs earlier this year, in March and April respectively, setting the stage for a competitive race once the SEC begins issuing decisions.
Market attention has been particularly focused on 21Shares, after the SEC approved a 2x leveraged SUI ETF from the firm in early May. That approval, while not a spot product, was seen by some analysts as an incremental signal of regulatory openness toward SUI-linked investment vehicles.
“Every approval builds precedent,” said an ETF industry analyst familiar with crypto listings. “It doesn’t guarantee a spot ETF, but it does reduce uncertainty.”
The SEC’s review process remains ongoing, and no timeline has been publicly confirmed for a decision on Bitwise’s application.
However, industry participants say the current regulatory environment appears more constructive than in previous years, with issuers increasingly optimistic about faster approvals.
Bitwise executives have been vocal about their expectations for rapid growth in crypto ETFs over the next two years. Rasmussen has projected that more than 100 new crypto ETF products could launch as issuers compete for market share across different tokens and strategies.
If approved, a spot Sui ETF would mark another step in the normalization of crypto assets within traditional financial markets.
For crypto investors, it would provide a regulated, liquid pathway to gain exposure to SUI potentially broadening the token’s investor base well beyond native crypto users.
As the SEC weighs multiple SUI-related filings, the outcome could help determine whether next-generation Layer 1 tokens follow Bitcoin and Ethereum into the mainstream ETF landscape or remain niche bets for risk-tolerant investors.
