Australian asset manager Monochrome is planning to launch the country's first bitcoin spot trading fund (ETF) that holds actual bitcoin.
Only in: 🇦🇺 first #Bitcoin Spot ETF in Australia to go live "In 2024," says the monochromatic asset manager.
This will be the first Australian investment trust to be retained $ Bitcoin directly. pic.twitter.com/x8nYRNzZra
– Bitcoin Magazine (@BitcoinMagazine) April 5, 2024
Monochrome has filed with stock exchange Cboe Australia to list its flagship Bitcoin ETF product. The company expects approval by mid-2024.
Unlike previous Bitcoin exchange-traded products in Australia, Monochrome's ETF will hold actual bitcoin. This structure mirrors the highly successful spot Bitcoin ETFs in the US.
The Australian Securities and Investments Commission has already given the green light to Monochrome's proposal. Cboe Australia is now reviewing the application.
“We expect a decision from Cboe Australia on the Monochrome Bitcoin ETF before mid-2024,” CEO Jeff Yu said. “The Monochrome Bitcoin ETF is the first Bitcoin ETF in Australia authorized to hold Bitcoin directly.”
If approved, the ETF would provide local investors with direct exposure to bitcoin through a regulated investment vehicle. Monochrome said it selected Cboe for its strategic expertise and broad reach across Asia.
The company had originally planned to list on rival stock exchange ASX, but has since switched to the Cboe platform.
Australia joining the spot bitcoin ETF movement could further validate bitcoin as an investable asset class, as Monochrome aims to capitalize on growing institutional demand as the bitcoin industry matures.
The fund is scheduled to launch ahead of the next Bitcoin halving event, likely boosting interest. As the first company to hold physical Bitcoin, Monochrome could quickly dominate the local ETF space in Australia.
