Bitwise Launches BPRO ETF Targeting Gold and Bitcoin for Currency Debasement Protection

TLDR:

• BPRO marks the first ETF specifically designed to combat fiat currency debasement through mixed assets
• The fund provides indirect bitcoin exposure alongside gold and precious metals in one trading vehicle
• U.S. debt interest payments surpass $1 trillion annually, now exceeding national defense spending levels
• Proficio Capital brings 12 years of currency debasement strategy refinement to the partnership with Bitwise

Bitwise Asset Management has introduced the Bitwise Proficio Currency Debasement ETF under ticker BPRO on the New York Stock Exchange. 

The actively managed fund targets assets designed to protect against declining fiat currency purchasing power. 

These include gold, bitcoin, silver, precious metals, and mining equities. The product marks a partnership between Bitwise and Proficio Capital Partners.

Strategic Response to Fiat Currency Concerns

The fund addresses growing concerns about fiat currency stability and government fiscal policies. 

According to Bitwise’s announcement, the U.S. dollar has lost 40% of its purchasing power since 2006. 

National debt has increased roughly fivefold over two decades to approach $40 trillion. Interest payments on this debt now exceed $1 trillion, representing more than national defense spending in fiscal year 2026.

Bitwise explained that BPRO seeks to give investors a way to shield portfolios from reckless spending, rising deficits, and money printing by governments worldwide. 

The fund invests in debasement-resistant assets that cannot be easily inflated or manipulated. The strategy combines Bitwise’s cryptocurrency market knowledge with Proficio’s precious metals expertise. 

Proficio Capital Partners manages approximately $5 billion in assets for high-net-worth families, businesses, and foundations.

The firm has developed currency debasement strategies over 12 years since its 2014 founding. Matt Hougan noted that Harvard’s endowment bought gold and bitcoin as a hedge against currency debasement last year. 

He expressed excitement about launching the fund, stating that investors can now access similar exposure in a single actively managed ETF. 

The fund will not directly invest in crypto assets or derivatives but gains indirect exposure through investments in crypto exchange-traded products.

The strategy reflects broader institutional recognition of alternative assets for portfolio protection. Traditional safe-haven assets like gold now share space with digital assets in debasement-focused portfolios. 

The fund’s structure allows investors to access both categories without managing separate positions. This approach simplifies implementation for those seeking protection from monetary policy risks.

Investment Structure and Risk Considerations

BPRO operates as a nondiversified fund focused on specific asset categories. The fund will maintain indirect cryptocurrency exposure through investments in crypto ETPs rather than direct holdings. 

These products use crypto assets in their operations or hold them as proprietary investments. The structure avoids direct cryptocurrency ownership while providing market exposure.

The fund carries significant risk factors that investors must consider before allocating capital. Cryptocurrency investments remain highly speculative due to their limited operational history and regulatory uncertainty. 

Future government actions could restrict crypto asset transactions or usage. Price volatility in crypto markets can stem from concentrated ownership among few holders. Declining adoption or acceptance could negatively impact crypto asset valuations.

Natural resource investments present different challenges compared to traditional equity holdings. Gold, platinum, palladium, and silver prices respond to unique market forces. 

The fund faces increased vulnerability to industry-specific price movements affecting natural resources sectors. 

Single-sector concentration typically generates higher volatility than diversified investment approaches. Inverse and leveraged ETPs that use derivatives add another layer of complexity and risk.

Bitwise Investment Manager serves as the fund’s investment adviser while Proficio Capital Partners acts as sub-adviser. Foreside Fund Services handles distribution responsibilities independently from Bitwise and Proficio. 

Shares trade at market prices rather than net asset value, with brokerage commissions reducing overall returns. 

The fund prospectus contains complete details on investment objectives, risk factors, fees, and expenses available at bproetf.com.

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