In a milestone for the Australian financial market, Monochrome Asset Management's Monochrome Bitcoin (BTC) exchange-traded fund (ETF) (IBTC) will begin trading on the Cboe Australia exchange on Tuesday.
Australia to Launch First Spot Bitcoin ETF with Direct BTC Assets
This development marks the introduction of Australia's first ETF directly holding Bitcoin, offering investors a simpler and regulated entry into the cryptocurrency market.
The product has received approval from the Australian Securities and Investments Commission (ASIC), ensuring it complies with the investor protection rules of the Australian Financial Services Licensing (AFSL) regime.
This regime imposes strict standards for directly held crypto assets, which do not apply to ETFs that hold Bitcoin indirectly or through offshore products.
The approval comes after the US gave the green light to spot Bitcoin ETFs in January 2024, prompting regions such as Hong Kong and Australia to follow suit.
As of April, Hong Kong approved the first batch of crypto-related spot ETFs, underscoring a global trend towards adopting these financial instruments.
Jeff Yew, CEO of Monochrome Asset Management, emphasized the importance of this launch: “This aligns with Monochrome's investor protection-focused mission to provide safe, compliant and simple ways to participate in this transformative space.
“IBTC's direct holding structure is expected to provide Australian investors with enhanced protection and clarity in line with Monochrome's commitment to security and compliance.
*This is not investment advice.