Crypto asset management firm Bitwise has secured a significant $70 million funding round, as announced on February 25th. This infusion will support the company’s team expansion and continued growth of its core product offerings. Investors backing this new round include Electric Capital, MassMutual, MIT Investment Management Company, Highland Capital, and Haun Ventures, among others. Bitwise has experienced a remarkable 10-fold increase in client assets under management (AUM) to over $12 billion in 2024. This success is attributed to the expansion of its DeFi applications, growing institutional interest, and successful launch of Bitcoin (BTC) and Ether (ETH) exchange-traded funds (ETFs). The company’s portfolio includes a crypto index fund and diversified funds encompassing various Web3 projects. 2024 has seen an upward trend for firms like Bitwise that manage diverse cryptocurrency assets for clients, serving both individual and institutional investors to achieve portfolio management, risk mitigation, and performance tracking goals. Other players in this space include Galaxy Asset Management, Grayscale, and BlackRock’s recent entry into the crypto market. The industry’s growth has been notable, with venture capital firms actively raising funds and traditional asset managers entering the realm. In April 2024, Pantera Capital announced a $1 billion fund for blockchain-based assets, while Grayscale witnessed a significant monthly portfolio surge of 85% in November 2024. The market is anticipating continued expansion in crypto asset management firms over the coming years. Research firm Mordor Intelligence projects an annual growth rate between 22% and 25% until 2030, with Asia-Pacific showing significant growth as a major driving force for these companies. Increased regulatory clarity, the rise of decentralized finance (DeFi), and the increasing involvement of institutional investors in digital assets are all contributing factors to this trend.