Recently, the US Securities and Exchange Commission, SEC, approved WisdomTree’s proposal to launch nine more blockchain-based funds. Consequently, WisdomTree is set to offer users ten blockchain-supported funds on its mobile app by Q1 of next year.
According to reports, the SEC approved the firm’s first digital fund, WisdomTree Short-term Treasury Digital Fund, WTSYX, earlier in September. However, the regulator has now vetted and approved nine more digital funds for the firm.
The Future Of Asset Management
WisdomTree’s digital funds are not cryptocurrencies as they do not have the same characteristics as crypto tokens. However, the funds use Stellar and Ethereum networks as secondary backups for share ownership.
During the announcement, a WisdomTree spokesman stated that the nine new digital funds would offer users exposure to other assets asides from cryptos like commodities, floating rate treasuries, and equities. He added that the firm would launch the digital funds on its mobile application by Q1 next year.
In a recent interview, the head of digital assets at WisdomTree, Will Peck, stated that blockchain-backed funds have improved standardization, transparency, and liquidity. He added that the firm aims to improve user experience with the funds’ enhanced features.
In addition, Peck said using crypto funds helps improve user experience via seamless trading and transaction payments. Peck further reiterates his belief that crypto funds are the next big thing in the asset management sector.
WisdomTree Expands Its Mobile App’s Capacity
Jonathan Steinberg, the founder of WisdomTree, stated that the firm had expended about $20 million in tokenization and other transaction improvement schemes. He added that they aim to expand their mobile app’s capacity to allow users to trade gold, BTC, USD, ETH, and other tokenized assets.
He continued that although crypto offers numerous opportunities and potentials, blockchain-backed finances are the next big deal in the financial sector. During its yearly finance auditing for 2022, WisdomTree revealed that it managed a whopping $82 billion in assets across its funds listed in different US and Europe firms.
In 2021, WisdomTree reportedly tried to launch a spot Bitcoin ETF. However, the US regulator, SEC, repeatedly rejected its proposals because the firm lacked enough resources to stop market manipulation and other fraudulent actions.
However, the firm is not discouraged as it announced that all hands are on deck to ensure they meet the SEC’s requirements for listing a spot Bitcoin ETF trading in 2023.