Bitwise pitched a diversified 10-crypto fund, then lost $500 million as Bitcoin swallowed 78% of the portfolio

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Bitwise’s 10 Crypto Index ETF ended the first half of 2026 with nearly half the net assets it started with, while its 10-asset basket became more concentrated in Bitcoin.

Net assets at BITW fell 48.27%, from $1.03 billion on Dec. 31 to $532.8 million on June 30, according to the fund’s quarterly filing. That contraction was not the return experienced by an investor: the fund reported a negative 36.16% Principal Market NAV total return per share for the six months, while its outstanding share count declined 18.97%.

The net-asset change combined two forces. Market performance reduced the value of each share, while net redemptions reduced the number of shares outstanding.

Infographic showing BITW net assets falling from $1.03 billion to $532.8 million, split between a $339.4 million operational decrease and a $157.7 million capital-share transaction decrease, while Bitcoin weight rose and Ethereum weight fell.

Losses, redemptions and a heavier Bitcoin tilt

Operations reduced BITW’s net assets by $339.4 million during the six-month period. The fund recorded $430.7 million of unrealized depreciation and a $2.8 million net investment loss, partly offset by $94.1 million of realized gains.

Capital-share transactions accounted for another $157.7 million reduction. BITW recorded $161.2 million of redemptions against $3.5 million of creations, while shares outstanding fell from 17,451,947 to 14,141,947.

Those redemptions occurred through authorized participants, the financial firms permitted to transact directly with the trust in 10,000-share blocks. The filing does not identify the ultimate investors behind those transactions, so the figures do not establish retail flight.

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A separate cash-flow line shows $178.3 million paid for redemptions. The difference reflects timing: the cash figure includes the $161.2 million current-period redemptions plus settlement of a $17.1 million redemption payable outstanding at the end of 2025.

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