Australian asset management company Monochrome plans to launch Korea’s first physical Bitcoin exchange-traded fund (ETF) that holds physical Bitcoin.
Just came in: 🇦🇺 First #Bitcoin Australian spot ETF launched "In 2024" Asset management company Monochrome says:
It will be the first Australian ETF to hold the holding. $BTC right away. pic.twitter.com/x8nYRNzZra
— Bitcoin Magazine (@BitcoinMagazine) April 5, 2024
Monochrome has submitted an application to list its flagship Bitcoin ETF on stock exchange Cboe Australia. The company expects approval by mid-2024.
Unlike previous Australian Bitcoin exchange-traded products, Monochrome’s ETFs hold actual Bitcoin. This structure mirrors the highly successful spot Bitcoin ETF in the US.
The Australian Securities and Investments Commission has already approved Monochrome’s proposal. Cboe Australia is currently reviewing applications.
“We expect Cboe Australia to make a decision on the Monochrome Bitcoin ETF before mid-2024,” CEO Jeff Yew said. “The Monochrome Bitcoin ETF is Australia’s first Bitcoin ETF approved to hold Bitcoin directly.”
If approved, the ETF will provide local investors with direct exposure to Bitcoin through a regulated investment vehicle. Monochrome said it chose Cboe because of its strategic expertise and extensive reach across Asia.
The company originally planned to list on rival exchange ASX but later switched to Cboe’s platform.
Australia joining the spot Bitcoin ETF movement could further validate Bitcoin as an investable asset class. That’s because Monochrome aims to capitalize on surging institutional demand as the Bitcoin industry matures.
The fund’s launch is scheduled to take place just before Bitcoin’s next halving, which is likely to increase interest. As the first physical Bitcoin holder, Monochrome was able to quickly dominate the local ETF space in Australia.