Bitwise Files for Election Prediction ETFs Amid Regulatory Scrutiny
Bitwise Asset Management has submitted a request to the SEC for approval of a suite of election prediction ETFs, dubbed "PredictionShares." These funds, tied to the 2028 presidential and 2026 congressional elections, WOULD payout based on binary outcomes—gaining value if a specified party wins or losing nearly all if it doesn't. The filing highlights Bitwise's ambition to capitalize on political volatility, though regulatory hurdles loom.
The proposed ETFs—covering Democratic and Republican victories across presidential, Senate, and House races—would primarily invest in CFTC-regulated event contracts. While the funds aim for capital appreciation, the prospectus starkly warns investors could face near-total losses. The MOVE follows similar efforts by Roundhill Investments, signaling growing institutional interest in politicized financial instruments.
