Bitwise said on Sept. 29 that it is launching the Bitwise NEAR ETF on NYSE Arca under the ticker NRR. The firm described it as the first U.S. spot exchange-traded product for NEAR.
The fund will hold NEAR directly and stake the tokens
The fund will hold NEAR tokens directly and charge a 0.75% management fee. Bitwise said its internal team will stake the fund’s NEAR holdings, with a target of earning average staking rewards of about 5%.
Staking involves locking tokens to help a blockchain validate transactions in exchange for network rewards. Bitwise said staking rewards will be reflected in the fund’s net asset value per share. It also said the 5% figure is an annualized level derived from NEAR on-chain data as of Sept. 25, does not represent fund performance, and is not guaranteed.
Risk disclosure cites slashing and redemption constraints
In its risk disclosure, Bitwise said staking may expose the fund to lost rewards and slashing. It also said staking could affect the fund’s ability to process redemptions on time.
The fund holds a single asset. Bitwise said investors could lose most or all of their principal.
NEAR is up from its August low but remains below its record high
According to Decrypt, NEAR was quoted at about $5.09 on Binance on Sept. 29. That is roughly three times its August low of $1.60, but still about 75% below its all-time high above $20.
Bitwise pitches NEAR as infrastructure for the AI economy
Bitwise framed NEAR as blockchain infrastructure for the AI economy. Chief Investment Officer Matt Hougan said, "As AI agents begin booking reservations, making payments, and exchanging assets on our behalf, the world will need settlement infrastructure that is fast, trusted, and not dependent on a single custodian."
In its release, Bitwise said NEAR’s cross-chain transaction protocol, NEAR Intents, has processed more than $32 billion in cumulative volume, up from less than $1 billion a year ago. It also said NEAR has a market capitalization above $6 billion, its token supply is fully unlocked, and inflation has recently been cut in half to 2.5%.
NEAR co-founder Illia Polosukhin said in a statement, "AI is the frontend, and blockchain is the backend."
NRR joins Bitwise’s U.S. single-asset crypto ETP lineup
NRR joins Bitwise’s U.S. lineup of single-asset crypto ETPs, which also includes funds tied to Bitcoin, Ether, Solana, XRP, and Hyperliquid.
Bitwise also has a NEAR staking ETP in Europe that has been approved by Germany’s Federal Financial Supervisory Authority, or BaFin.