Australia-based Monochrome Asset Management has applied for a spot bitcoin exchange-traded fund (ETF) with Cboe Australia. Cboe is a listing exchange. If the application is approved, it could become Australia’s first bitcoin ETF.

It is a spot ETF, meaning it must buy bitcoin directly from the market to meet demand. This is not the case with a futures-based ETF.

According to Friday’s press release, Monochrome Asset Management has chosen Cboe Australia for the listing of its fund, and not its major rival, the Australian Securities Exchange (ASX). It will be called: Monochrome Bitcoin ETF.

While Australia already has two exchange-traded products that offer exposure to spot crypto assets on Cboe Australia, they are not funds that invest directly in bitcoin. The Monochrome Bitcoin ETF is therefore unique in its kind. Jeff Yew, CEO of Monochrome Asset Management, says:

“We expect a decision from Cboe Australia on our Bitcoin ETF application before mid-year.”

In January 2024, Derek Vladimir Henningsen, head of legal and compliance at Monochrome Asset Management, also said in an interview that they hope to be able to offer their fund in the second quarter of 2024.

Cboe Australia is one of five listing exchanges operated by major Cboe Global Markets. Remarkably, the Australian Securities Exchange, the industry regulator, must approve the fund’s listing.

The ETFs in America are doing extremely well so far. We previously reported that trading volumes tripled in March to a whopping $111 billion. In February that was “only” $42 billion.


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