Leading crypto index fund manager, Bitwise Asset Management, has distanced itself from a similarly named startup facing legal charges.
The San Francisco-based digital asset manager clarified that it has no links with the now-defunct Bitwise Industries, an ex-technology company based in Fresno, California.
Bitwise Asset Management, which is currently attempting to obtain approval for a spot Bitcoin ETF via the U.S. Securities and Exchange Commission (SEC), released a statement on November 9th, “Bitwise Asset Management, Inc., the largest crypto index fund manager in America, has no relationship with, and has never had a relationship with, the now-defunct Bitwise Industries.”
Bitwise Industries’ founders, Irma Olguin, Jr. and Jake Soberal, are facing charges from the SEC and the Department of Justice (DOJ) for allegedly raising $70 million by falsifying their company’s financials and conspiring to commit wire fraud. The founders are said to have procured over $100 million before the company’s demise.
The identical names of the two firms caused confusion on social media, with numerous posts erroneously linking the asset management firm to the collapsed tech company. Despite the mix-up, the crypto market appears unaffected, with Bitcoin (BTC) showing a slight increase.
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