Bitwise Launches First Lighter ETP as LIT Extends 580% Rebound

Summary

• Bitwise launched its Lighter ETP on Xetra as LIT traded more than 580% above its March low near $0.78.
• BLIT tracks LIT through brokerage accounts, while staking rewards depend on the fund reaching sufficient assets to operate staking efficiently.
• Bitwise is also closing its Dogecoin ETF, with remaining shareholders scheduled to receive cash distributions on October 22.

Bitwise has launched a European investment product tracking Lighter’s LIT token, which has rebounded more than 580% from its March low. The listing expands the firm’s range of products tied to onchain trading platforms.

The Bitwise Lighter Staking ETP began trading on Deutsche Börse Xetra under the ticker BLIT. According to Bitwise, LIT tokens held in cold storage fully back the product, which tracks the Kaiko Lighter Reference Rate and charges an annual expense ratio of 0.85%.

LIT traded around $5.30 on Wednesday, gaining nearly 5% while Bitcoin, Ethereum, Solana and XRP declined. The token has risen more than 580% from its late March low near $0.78. Its rebound gives context to the launch, though the ETP offers no protection against a reversal in LIT’s price.

BLIT allows investors to gain exposure through a brokerage account without managing a crypto wallet or private keys. Despite its name, the ETP will not generate staking rewards at launch. Bitwise plans to begin staking once the product has enough assets to operate that process efficiently. Until then, BLIT will track LIT’s price alone.

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Lighter ETP Extends Bitwise’s Onchain Trading Range

Lighter operates a decentralized exchange focused on perpetual futures. Its contracts track cryptocurrencies and shares of companies including Apple, Amazon and Tesla. That range lets traders seek exposure to stock prices outside regular market hours without owning the shares.

The platform charges retail traders no trading fees. Instead, Bitwise identifies professional market makers, liquidations, and treasury income as sources of revenue. LIT is Lighter’s native token and the asset underlying the new ETP.

BLIT follows Bitwise’s April launch of a Hyperliquid Staking ETP, which offers exposure to HYPE. Both products track tokens associated with platforms offering onchain derivatives. The Lighter listing therefore adds another platform to Bitwise’s European range.

Bitwise Prepares to Liquidate Dogecoin ETF

While adding BLIT in Europe, Bitwise is closing a separate US product, its spot Dogecoin ETF, BWOW. According to the company’s announcement, shareholders may sell their shares until trading closes on October 14, the fund’s expected final trading day.

Bitwise will value any remaining shares as of October 21 and distribute cash to its holders on October 22. Those investors need not submit instructions. The firm attributed the liquidation to adjustments in its product range to meet investor needs.

Together, the decisions show Bitwise adding exposure to Lighter while withdrawing its Dogecoin fund. For BLIT investors, the immediate consideration remains LIT’s price, since staking has yet to begin.

Also Read: Crypto Market Rebounds as Bitcoin Tops $85,000 and Dogecoin Gains 13.5%