Bitwise CIO Predicts U.S. Banks to Offer Bitcoin ETFs by 2025

Matt Hougan, Chief Investment Officer of Bitwise Asset Management, forecasts that the “Big Four” U.S. wirehouses will offer Bitcoin ETFs by the end of 2025.

The introduction of Bitcoin ETFs at major U.S. banks could significantly drive institutional crypto adoption.

Bitwise’s Chief Investment Officer, Matt Hougan, released an investor note suggesting that the “Big Four” U.S. wirehouse banks, collectively managing over $10 trillion, might soon provide access to spot Bitcoin ETFs. Such a change could lead to a substantial increase in capital flows into the cryptocurrency market. Expectations are set to surpass the $35 billion in ETF inflows achieved in 2024, potentially reaching $50 billion by the end of 2025.

The primary assets impacted will be spot Bitcoin ETFs, including well-known names like BITO and FBTC, alongside the underlying Bitcoin itself. Hougan notes that if these predictions hold true, the ripple effects would extend to Ethereum and related altcoins tied to Bitcoin and Ethereum infrastructure. The industry’s historical patterns show surges in demand and price during similar institutional entries, suggesting a transformative period.

“I still expect Bitcoin ETFs to set a new record for net inflows this year, despite pulling in ‘just’ $3.7 billion so far in 2025, compared to $35 billion in 2024” – Matt Hougan, Chief Investment Officer, Bitwise Asset Management, wrote in Bitwise Insights .

Institutional access to Bitcoin ETFs could redefine the landscape of cryptocurrency investing, shifting more focus from retail to institutional investors. According to Robert Mitchnick, Head of Digital Assets at BlackRock, there is already a notable trend towards institutional engagement. Hougan’s insights indicate an impending period of growth and robust market expansion, bolstering both Bitcoin and potentially Ethereum-based financial products.

Analysts are watching closely for legislative and regulatory developments that might impact these predictions. The evolving landscape of stablecoin legislation and a more permissive banking stance are promising indicators. As these factors align, there’s an expectation for an accelerated build-out of institutional-grade infrastructure in the crypto sector, possibly catalyzing an unprecedented era of adoption.