Bitwise Asset Management has filed applications with the U.S. Securities and Exchange Commission (SEC) to launch Bitcoin and Ether exchange-traded funds (ETFs) on the NYSE Arca. Announced on Nov. 21, the proposed ETFs aim to provide investors with direct exposure to the two largest cryptocurrencies by market capitalization through regulated and accessible investment vehicles. This move reflects the growing demand for institutional-grade crypto investment products.

The proposed funds would track the spot prices of Bitcoin and Ether, enabling investors to gain exposure without directly holding the underlying assets. Bitwise’s filing comes amid a wave of similar applications from major asset managers, signaling heightened competition to secure SEC approval in the evolving digital asset market. If approved, these ETFs could serve as a significant milestone in bridging traditional finance with the cryptocurrency ecosystem.

Bitwise has emphasized its commitment to transparency and investor protection, outlining measures to address concerns over market manipulation and liquidity. The company’s filing coincides with increasing optimism about the SEC’s willingness to greenlight spot crypto ETFs following years of resistance. Industry observers believe approval of such products could drive significant capital inflows into the crypto market, further legitimizing digital assets in the eyes of mainstream investors.

The race to launch spot Bitcoin and Ether ETFs underscores the accelerating institutionalization of the cryptocurrency industry. As leading financial firms vie for regulatory approval, Bitwise’s latest initiative reflects its ambition to remain at the forefront of this transformation. Approval of these ETFs would mark a turning point for crypto investments, potentially unlocking new opportunities for retail and institutional participants alike.

Kraken, one of the leading cryptocurrency exchanges, has announced the closure of its NFT marketplace, citing challenging market conditions and shifting priorities. The platform, which launched in late 2022, will cease operations on Dec. 3. Kraken stated that the decision was made to refocus resources on its core services, including crypto trading and staking, amid a downturn in the NFT sector.

The NFT marketplace had initially aimed to capitalize on the growing interest in digital collectibles and tokenized assets. However, the broader NFT market has faced significant headwinds in recent months, with declining sales volumes and reduced enthusiasm from both creators and collectors. Kraken’s withdrawal highlights the ongoing struggles of crypto firms to sustain niche offerings in a rapidly evolving industry.

While the shutdown marks an end to Kraken’s NFT ambitions for now, the company emphasized its commitment to exploring new opportunities in the Web3 space. Kraken CEO Dave Ripley noted that the exchange would continue to monitor trends and revisit NFTs in the future if market conditions improve. Users currently holding NFTs on the platform have been advised to transfer their assets before the closure date.

The decision reflects a broader trend of consolidation in the crypto industry as companies reassess their priorities during a challenging economic environment. As NFT platforms grapple with declining demand and increased competition, Kraken’s exit underscores the importance of adaptability and focus for long-term survival in the digital asset space.

Iran has officially launched its central bank digital currency (CBDC), the Digital Rial, as part of a broader effort to modernize its financial infrastructure and embrace digital innovation. Announced on Nov. 21, the Digital Rial aims to improve payment efficiency, enhance financial inclusion, and provide a state-backed alternative to decentralized cryptocurrencies. The rollout follows months of pilot testing and collaboration between the Central Bank of Iran (CBI) and domestic banks.

The Digital Rial operates on a blockchain-based platform designed to ensure secure, transparent, and traceable transactions. Unlike traditional cryptocurrencies, the CBDC is fully controlled by the CBI and pegged to the Iranian rial, offering users a stable and government-backed digital currency. The CBI emphasized that the Digital Rial will not replace cash but complement existing payment systems, making transactions faster and more efficient.

Iran’s move to launch a CBDC comes amid growing interest in digital currencies globally, particularly as governments explore alternatives to physical cash and private cryptocurrencies. The Digital Rial is also seen as a potential tool for mitigating the impact of international sanctions by enabling domestic and cross-border transactions through state-approved channels. Analysts believe it could help Iran reduce reliance on traditional financial networks and boost economic resilience.

The successful implementation of the Digital Rial will depend on widespread adoption and integration into Iran’s financial system. While the initiative has been praised for its forward-thinking approach, critics have raised concerns about potential privacy issues and the risk of state overreach. As one of the early adopters of a CBDC in the region, Iran’s experience will likely influence how other countries in the Middle East approach digital currency development.