WisdomTree executive says diversified crypto baskets will help new investors manage risk as ETF competition accelerates
Crypto index exchange-traded funds are emerging as the next major step in digital asset adoption, according to WisdomTree’s head of digital assets, Will Peck. Speaking at The Bridge conference in New York, Peck said that multi-asset crypto ETFs are positioned to meet a growing demand from investors seeking sector exposure without taking on excessive individual-token risk.
“It does seem like that’s going to be one of the next waves of adoption,” Peck noted, highlighting the difficulty newcomers face when deciding which assets beyond Bitcoin deserve long-term commitment. He said a diversified basket helps investors avoid “idiosyncratic risk” tied to single tokens.
Will Peck spoke to Cointelegraph at The Bridge conference in New York City on Wednesday.
Peck emphasized that cryptocurrencies act less like a unified asset class and more like a technological spectrum with different underlying return drivers.
“Crypto is really a technology, and the underlying return drivers of each token can be very different, even when correlations appear high,” he said.
The comments come as crypto index ETFs increasingly enter the U.S. market. This week, asset manager 21Shares launched two regulated crypto index ETFs under the Investment Company Act of 1940. Earlier in the year, Hashdex broadened its own index product to include XRP, SOL and XLM after a regulatory rule change opened the door for expanded listings.
While predicting the exact timing of mainstream demand remains difficult, Peck said broader adoption feels “inevitable” given the simplicity and utility these products offer. He also expects a sharp rise in new ETF launches as issuers race to secure early advantage.
This surge, he added, may end the perception that the existence of an ETF automatically grants a token credibility.
“Five years ago, if something had an ETF, people assumed it had institutional approval. That’s no longer the case.”
Peck said the success of spot Bitcoin ETFs since January 2024 has exceeded expectations, calling the category one of the most competitive segments in the U.S. ETF market. Since launch, spot Bitcoin ETFs have attracted more than $58 billion in net inflows, reinforcing investor appetite for regulated crypto exposure.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.