Bitwise Files for First-Ever Chainlink ETF, Aiming to Mainstream Oracles

August 26, 2025 – Bitwise Asset Management has filed an S-1 with the U.S. Securities and Exchange Commission (SEC) for a Chainlink ETF. If approved, it would be the first spot exchange-traded fund tied directly to Chainlink’s native token, LINK. The move signals rising institutional interest in oracles, which provide blockchain projects with real-world data.

What the Filing Includes

The proposed fund is structured as a Delaware statutory trust. It will hold only LINK, with no staking, leverage, or derivatives. Coinbase Custody Trust Company is named custodian, while Coinbase Inc. will execute trades. Shares will be created or redeemed in blocks by authorized participants, either in-kind with LINK or in cash.

The ETF will track the CME CF Chainlink–Dollar Reference Rate as its benchmark. Daily NAV will be published at 4:00 p.m. ET, with indicative values updated every 15 seconds. The sponsor, Bitwise, will charge a single management fee, though the exact rate remains undisclosed.

Why It Matters

Chainlink powers decentralized finance, tokenized assets, and insurance protocols. By feeding off-chain data into smart contracts, it has become critical infrastructure. Bitwise CIO Matt Hougan has called LINK a “clean play” for tokenization. The ETF could make exposure to this infrastructure easier for institutional and retail investors alike.

The timing reflects the SEC’s evolving stance on crypto ETFs. In 2024, regulators approved spot Bitcoin and Ethereum funds, which drew billions in inflows. More recently, filings for Solana, XRP, and even politically themed ETFs have tested the boundaries of what might gain approval.

Market Reaction and Risks

LINK’s price jumped about 3–5% intraday, peaking near $9.21 after the news. Analysts suggest approval could push LINK toward \$30 or higher. Social media buzzed with optimism, with outlets like Blockworks calling the filing a “big step” for oracles.

Still, the filing highlights risks. LINK’s historic volatility sits above 100%. Regulatory reclassification as a security could force dissolution. Other concerns include custody breaches, forks, and lack of diversification since the trust will hold only LINK.

The SEC has yet to comment. Reviews can take up to 240 days, and crypto ETFs often face delays.