Bitwise pledges 10% of BITB ETF gross profits to Bitcoin developers

Bitwise donated $150,000 to support Bitcoin (BTC) open-source developers, according to a Feb. 18 announcement.

The funds are equivalent to 10% of the gross profits from its spot Bitcoin exchange-traded fund (ETF), BITB, an amount pledged since the product’s inception. 

The first contribution will be distributed among three nonprofit organizations: Brink, OpenSats, and the Human Rights Foundation (HRF).

Bitwise stated:

“As BITB grows, so too will our contribution. Bitcoin is changing the world, and Bitwise will always strive to do our part to be a good steward of this incredible ecosystem alongside you.”

Additionally, the company acknowledged its investors as key enablers of this initiative and expressed gratitude to those who chose BITB among various ETF options.

Bitwise CEO Hunter Horsley also expressed his gratitude to investors for choosing BITB and said he is proud of Bitwise’s contribution.

BITB’s 0.2% fees are among the smallest US-traded Bitcoin ETFs. They tie with VanEck’s HODL, one basis point above Franklin Templeton’s EZBC, and five basis points larger than Grayscale’s Bitcoin mini trust.

BITB’s net flows since launch have been positive by nearly $2.3 billion, making it the fourth-largest US-traded Bitcoin ETF in inflows, based on Farside Investors data. 

Arkham Intelligence data revealed that Bitwise holds 41,152 BTC, worth roughly $3.9 billion as of press time.

Bitcoins Fostering Bitcoin development

All three institutions have established track records of supporting Bitcoin development, and they play a crucial role in maintaining and improving the network’s security, functionality, and decentralization.

Brink has reported support to 20 grantees scattered worldwide and secured sponsorship deals with industry names such as Xapo, Coinbase, and Marathon Digital. It also offers a fellowship program to developers interested in working in the Bitcoin ecosystem.

Meanwhile, OpenSats recently completed its ninth round of grants to Bitcoin-based projects through its General Fund. The charity aims to foster Bitcoin and Bitcoin-adjacent software and improve existing open-source software.

The Human Rights Foundation (HRF) was founded in 2005 to promote and protect human rights globally. Its Bitcoin Development Fund (BDF) was created five years ago and has donated over $5.5 million through 174 separate grants since then, according to its official webpage.

Mentioned in this article