Crypto asset manager Bitwise is entering the fast-growing tokenized funds market for the first time thanks to a planned buyout of Superstate’s crypto carry fund.
Bitwise intends to assume investment management responsibilities for the Superstate Crypto Carry Fund, known by its symbol USCC, on June 1, the companies announced Thursday.
The fund will be renamed Bitwise Crypto Carry Fund while continuing to operate on Superstate’s blockchain infrastructure.
USCC manages over $267 million in assets and provides qualified investors with exposure to a cash-and-carry crypto strategy. The trade seeks to take advantage of the gap between cryptocurrency spot prices and futures contracts, which often trade at a premium during bullish market conditions. More than $100 million of the fund’s assets are actively used as collateral in decentralized finance (DeFi) protocols such as Aave and Kamino.
The move gives Bitwise, which oversees $11 billion in crypto assets across ETFs and private funds, its first foothold in the growing market for tokenized investment products.
Tokenized funds have become one of the fastest growing areas of digital assets, as global asset managers seek to modernize how funds operate. Companies such as BlackRock, Franklin Templeton and Fidelity have launched tokenized treasury and money market products, while crypto-native companies are experimenting with on-chain versions of hedge funds and yield strategies.
Through tokenization, investors can hold blockchain-based ownership tokens in the fund that can move and settle 24 hours a day. Supporters say the structure can reduce settlement times and make it easier to transfer or use funds in decentralized finance applications.
The market has grown rapidly over the past two years. Data from RWA.xyz shows that real-world tokenized assets have surpassed $30 billion globally, with tokenized U.S. Treasury products accounting for over $15 billion.
The transition also reflects a change in strategy for Superstate, the tokenization startup founded by Compound creator Robert Leshner. Rather than managing funds directly, Superstate plans to focus on FundOS, its infrastructure platform for tokenized investment products. Last month, $2.2 trillion asset manager Invesco took over Superstate’s on-chain money market fund that offers investors a U.S. Treasury yield.
“Capital markets are evolving on-chain,” Hunter Horsley, CEO of Bitwise, said in a statement. “Both traditional and crypto-native institutions are increasingly using tokenized funds.”
The structure of the fund itself will remain largely unchanged after the transfer. Existing investors will retain the same USCC ticker, token contracts, and blockchain address while Superstate will continue to manage token issuance and transfer services.
