USCC — Bitwise Crypto Carry Fund

Superstate Asset Trust is a single Delaware statutory trust that holds several funds, each in its own series. USCC is one series; USTB is another. The rules for the trust and for each series are in the Trust Agreement and the other Fund Documents, which investors can read in the Superstate investor portal.Three parties run the structure. Superstate Services LLC administers the trust. CSC Delaware Trust Company is the trustee, a formal role required under Delaware law. Each series has its own investment manager: Invesco for USTB, Bitwise for USCC.The assets of USCC belong to the USCC series, not to the trust as a whole (per Superstate's legal-structure page). Delaware law keeps the assets and liabilities of each series separate from the others, provided the trust records that separation in its certificate of trust. In practice this means that creditors of another series could not reach USCC's assets. We are not aware of any court decision testing this separation or of a bankruptcy court dealing with a failed series, so holders rely on the statute as written rather than on precedent.

The fund is sold privately. It relies on Section 4(a)(2) and Rule 506(c) of the Securities Act, which permit a private sale to verified accredited investors, and on Section 3(c)(7) of the Investment Company Act, which keeps the fund outside that Act provided every investor is a Qualified Purchaser. The fund therefore carries none of the protections of an SEC-registered fund; the investor is assumed to be sophisticated.The manager, Bitwise Investment Manager, is registered with the SEC as an investment adviser and with the CFTC as a commodity pool operator and commodity trading adviser, because the fund trades futures. It relies on CFTC Rule 4.13(a)(3), which reduces the reporting owed to the CFTC for a pool sold only to sophisticated investors.Investor onboarding, including compliance checks, anti-money-laundering screening and accreditation review, runs through Superstate's investor portal.

A USCC token is a share of the fund: ownership is recorded either as a token or in book-entry form. There is no wrapper, feeder or SPV between the holder and the fund. The transfer agent's register is authoritative and reconciles book-entry holdings with the three chain supplies.

The affiliation that matters is Superstate's: the same group is transfer agent, tokenisation provider and holder of every admin key.

Fund assets are held in three places. Spot coins and staked SOL sit at Anchorage under custody. Futures margin sits at the FCMs as customer property in segregated accounts under CFTC rules: an FCM may not use it in its own business, may invest it only in permitted instruments such as Treasuries, and passes on to the clearing house what the clearing house requires. The residual risks at an FCM are a failure with a shortfall in the segregated pool, which has happened through fraud in the past (MF Global, 2011; Peregrine, 2012), and losses shared across the FCM's customers if one of them defaults. Cash is otherwise held in USTB.The series-level separation under Delaware law protects USCC holders from the liabilities of USTB and the other series.

Shareholders take no part in management and have only certain limited voting rights (per Bitwise's fund page). The June 2026 change of manager shows that the structure can change managers without disturbing the token.

The fund seeks to optimise the yield and manage the risk of crypto cash-and-carry trades across multiple crypto assets and U.S. Treasury securities (per Bitwise's fund page and Superstate's docs).

The hedges match. For each coin, the spot held and the futures sold are almost identical, so the fund's net price exposure is a fraction of a percent of NAV. The yield is uneven across the four legs. The XRP trade is the largest earner, 18% of assets at a 6.7% implied basis, with BTC on Coinbase at 6.9%. ETH earns 2.0%. The SOL basis on CME is negative, so the SOL leg earns its 4.1% staking yield less the cost of the short. Across the whole book the implied yield was 2.54% on 30 October, below the 3.64% that USTB pays.All futures are November 2026 contracts. The book rolled out of October on 30 October, the last Friday of the month, and rolls every month; the fund does not report what the roll costs. The spread is fixed until that contract expires, unlike a perpetual swap, whose rate resets every few hours. The NAV still moves day to day because the positions are marked to market: when the market spread widens the fund shows a small loss, when it tightens a small gain, and the marks converge at expiry. New subscribers enter at the spread prevailing on the day they buy.The book changes often. On 15 September 2026 it held 23.5% of assets in weETH, a liquid staking token, and a $5M OTC forward with FalconX. By 30 October it held neither, and USTB had grown from 4% of assets on 15 September to 20%. Holdings can change at the manager's discretion (per the holdings footnote on superstate.com).

This is where the risk in a basis fund sits.

Investment-grade and on-exchange: as of 30 October 2026 every trading counterparty is either a federally chartered custodian, a CFTC-registered FCM or a CFTC-regulated exchange. That was not the case in September, when a bilateral OTC forward sat in the book, and holdings can change at the manager's discretion.

The fund holds no long-term bonds, so its interest-rate risk is low. It is not zero, though. Futures prices include short-term rates, so when rates or demand for leverage rise, the basis widens. The fund is short the futures, so a wider basis shows as a loss and the NAV dips. The loss reverses if the futures are held to expiry, and becomes real only if the position is closed early.

The fund trades the basis on four coins, but all four depend on the same thing: demand for leverage in crypto. When that demand falls, the basis shrinks on all of them at once. In September 2026 the Coinbase basis turned negative for both BTC and ETH. As a result, USCC tends to move with other basis and funding-rate strategies and has little in common with tokenised Treasury funds such as USTB and JTRSY.

Spot and futures in major coins comprising the portfolio are deep, and a hedged pair can be unwound within a session. Staked SOL (12% of assets) unstakes over two to three days. With about 42% of the fund in cash-like assets, the demonstrated redemption capacity, described below, sits well above anything the position sizes typical of this market would require.

NAV Consulting, Inc. calculates NAV each Market Day. Marks are taken at 4pm ET: Coinbase closing prices for spot, CME closing prices for futures, conversion rates for liquid staking tokens, accrued staking rewards, and dealer marks for OTC forwards and options (per Superstate documentation). NAV is published on superstate.com and through a public API.

A Chainlink feed puts the NAV on chain once per business day, usually between 13:00 and 14:00 UTC the day after the NAV is struck. Over weekends and holidays it repeats the last value every 27 hours.Each lending market reads the price differently:

• Aave Horizon reads it through an adapter that drops the timestamp, so Aave cannot tell how old the price is. The Aave setup also has no limit on price moves and no backup source (checked in the adapter's contract code).
• Morpho reads a separate Chainlink feed.
• Kamino uses its own Scope price feed and treats it as stale after 300 seconds.

The NAV can be posted late. On Tuesday 15 September 2026, Monday's NAV went up at 11:03 ET, an hour or two later than usual, and until then the feed still showed Friday's value. Feed and adapter addresses are in the technical section.

Return is realised in the NAV; there are no distributions. These figures are computed by Vault Street Research from the public NAV series. Past performance is not a guide to future results. Source: the Superstate API series (daily, 12 July 2024 to 30 October 2026):

The NAV falls on about one day in five because the futures are revalued every day (see Rate risk). The dips are small and recover within days. For the same reason, a 30-day return can mislead, and the year-to-date and one-year returns give a fairer picture.Superstate and Bitwise each publish a 30-day yield for USCC, and the figures do not agree. Superstate's fund page showed 4.63% on 30 October 2026, close to the NAV's own return. Bitwise's fact sheet showed 3.92% for September, below what the NAV returned that month. We could not find the reason for the gap, so this note uses the NAV.

Investors complete onboarding in Superstate's investor portal, sign the Investment Agreement once approved, register wallet addresses to the allowlist, then fund by USD wire or USDC on Ethereum, Solana or Plume. Cash received by 5pm ET on a Market Day is priced at that day's NAV and shares are issued the next Market Day, as tokens minted to the allowlisted address or as book-entry. There is no atomic on-chain mint: USDC sent on chain is settled first and the shares are minted afterwards, and the token's own subscribe function has never been enabled. For redemptions, token holders call the burn function or send tokens to the fund's redemption address; either emits an OffchainRedeem event that the transfer agent's systems watch and treat as the request. Book-entry holders request through the investor portal. Payout is USD to a bank account or USDC to an Ethereum or Solana address.

Requests received by 5pm ET settle T+1 and later requests T+2 (per Superstate docs). Neither timing is guaranteed.

USCC has no instant redemption and no real secondary market, so holders exit by redeeming with the fund. Superstate's instant-redemption contract covers USTB but not USCC, and third-party venues do not fill the gap: on 23 September 2026, Upshift's redemption pool held about $200,000 and Fission did not list USCC.The fund's redemption record is strong:

• Largest single day: $100M, settled T+1 (per Bitwise, October 2026).
• Sustained outflows: shares outstanding fell 31% between 1 and 20 February 2026 (Superstate API).
• On chain: 85.4M shares redeemed across 446 transactions (on-chain inspection, 15 September 2026).

Under the published terms, redemption proceeds are paid in USD or USDC, and the manager may temporarily suspend redemptions or payments. We found no public notice of a suspension since launch.

As of 1 November 2026 (superstate.com), 45.6% of shares are in book-entry, 39.7% on Ethereum, 11.6% on Plume and 3.1% on Solana. Aave Horizon's aUSCC contract holds 2.55M shares, about 17% of the 15.19M shares outstanding (Superstate API), down from 5.09M on 2 October. The Kamino and Morpho positions are negligible. On Ethereum the Horizon position is nearly half of the chain's supply. The fund's AUM path reflects a few large holders: $623M at the November 2025 peak after a $100M allocation from Spark was announced in October, $124M at the August 2026 low, and $180M on 30 October 2026.

The manager's powers are listed in the governance table. They are drafted wide. The token has been paused once, from 16 July to 15 October 2024, in the launch period under the previous owner (verified by on-chain inspection). If the token is paused, no new burn can be submitted until it is unpaused (per the Zellic threat model, February 2026).

The token checks both sender and receiver against the allowlist on every transfer, mint and burn, and a failing check reverts. Superstate adds only addresses that have passed KYC and signed the Investment Agreement, and may add audited DeFi protocols at its discretion. On 22 September 2026 Superstate replaced the EVM allowlists with new AllowlistV4_2 contracts. The permissions were copied across in 71 batch writes and the token was repointed with setAllowlist, a single owner transaction. The token's allowlist pointer and the Aave contract's permission were both verified on the new contract on 23 September. On Solana, accounts are frozen by default and thawed on onboarding through the allowlist program, which also holds a permanent delegate able to move or burn tokens from any account.

Both EVM tokens and both allowlists are upgradeable proxies controlled by the two owner addresses above: one key for the token and its upgrades, a separate key for the allowlist. Neither sits behind a timelock or an on-chain multisig. The Ethereum token has been upgraded nine times, twice within 28 hours on 20 and 21 July 2026 in step with Plume. The Solana allowlist program can be upgraded by a single keypair. The keys are managed in Turnkey, which holds them in secure hardware rather than splitting them across parties as MPC does, and signs when a policy configured by Superstate is met (per Superstate security documentation). The token contract mints only to allowlisted addresses.

The Aave path has no staleness or deviation guard, so a late or missing print leaves the market valuing collateral at the last published NAV until the next print lands. The feed's 4-of-9 Safe can redirect the aggregator with no delay. Integrators should run their own print-arrival check against the public API.

Superstate publishes audits from ChainSecurity, Macro and Zellic. The two Zellic reports are the most relevant to USCC today:

• February 2026: a full review before the current contracts went live. Six findings, none above low. The four low-rated ones are in code USCC does not use. All but one were fixed.
• June 2026: a review of the token and allowlist upgrade. One medium-rated finding, fixed before deployment: the upgrade could have switched minting and burning back on if it ran while those were paused.

Neither review covered key management, infrastructure or the website. The live token, v1.3.0, was deployed in July 2026, one day after the reviewed v1.2.0. No exploit or loss on the USCC contracts is known. Superstate has a responsible-disclosure policy but no paid bug bounty, which both Zellic reports recommend adding.

There is no bridge. The token's bridge function is a burn that emits an event, after which Superstate mints on the destination or credits the register; nothing is atomic or verifiable across chains. In practice the chains are served through issuance: investors pay USDC on Ethereum, Solana or Plume and receive USCC on any of the three or in book-entry, and redeem on Solana for USDC on Ethereum or Solana. The transfer agent's register reconciles book-entry plus the three chain supplies to the 15.19M shares outstanding (Superstate API, 30 October 2026).