Crypto-focused asset management company Monochrome Asset Management and its responsible entity partner Vasco Trustees have filed an application for a spot Bitcoin exchange-traded fund (ETF) with the Australian Securities Exchange (ASX). Monochrome Bitcoin ETF (IBTC) is the first spot Bitcoin ETF prepared under Australia’s new regulatory framework and provides investors with the opportunity to directly invest in Bitcoin (BTC).
Australia’s First Spot Bitcoin ETF under New Regulations
In an official announcement on July 14, Monochrome Asset Management stated that its partner Vasco Trustees had resubmitted the application for Monochrome Bitcoin ETF (IBTC) to ASX. The announcement mentioned that “IBTC, the first of its kind in Australia, offers individual investors a way to own Bitcoin in a single regulated structure, giving them an absolute ownership right over Bitcoin.” The announcement also revealed that State Street Australia, Automic Pty, Ernst & Young, CF Benchmarks, and Gemini Trust Company are among the leading service providers supporting Monochrome and Vasco’s spot Bitcoin ETF.
Vasco, as a holder of an Australian Financial Services License, stands out for providing investors with the opportunity to invest directly and regulated in Bitcoin and Ethereum (ETH). Monochrome Bitcoin ETF and Monochrome Ethereum ETF are the two cryptocurrency ETFs currently managed by the company.
Monochrome CEO Jeff Yew, in a statement on his personal Twitter account regarding the spot Bitcoin ETF, mentioned that Australia is joining the race for a spot Bitcoin ETF, stating, “Through a Bitcoin ETF, we allow them to buy and use the asset class in the investment options they see fit and in a regulated manner, as well as operate in the normal regulatory environment.”
Competition for Spot Bitcoin ETF in the US
Following the application by BlackRock, the world’s largest asset management company, for a spot Bitcoin ETF with the US Securities and Exchange Commission (SEC) last month, other leading companies such as Fidelity Investments, Invesco, and WisdomTree have also submitted their spot Bitcoin ETF applications to the US regulatory agency. This move has led to institutional investors returning to cryptocurrency funds, with a net inflow of $500 million recorded in the past three weeks.
The SEC’s approval of Bitwise’s spot Bitcoin ETF application on July 13 has caused a sensation. The acceptance of Bitwise’s spot Bitcoin ETF application by the US regulatory agency is considered highly significant for the cryptocurrency market, as it increases the likelihood of a regulated spot Bitcoin ETF being launched in the US. The regulatory agency will now initiate an official review process to thoroughly examine Bitwise’s spot Bitcoin ETF application and gather public feedback.
Meanwhile, Europe’s first spot Bitcoin ETF is expected to be launched by the end of the month.
