Australian asset manager Monochrome is set to make history by launching the nation’s first spot bitcoin exchange-traded fund (ETF) that holds physical bitcoin. The firm has filed an application with securities exchange Cboe Australia and expects approval by mid-2024.
Unlike previous bitcoin exchange-traded products in Australia, Monochrome’s ETF would hold actual bitcoin, similar to the successful spot bitcoin ETFs in the United States. The Australian Securities and Investments Commission has already approved Monochrome’s proposal, with Cboe Australia currently reviewing the application.
CEO Jeff Yew stated, “The Monochrome Bitcoin ETF stands to be the first Bitcoin ETF in Australia authorized to hold Bitcoin directly.” If approved, the ETF would provide local investors with regulated exposure to bitcoin through a reputable investment vehicle.
By choosing Cboe for its expertise and reach across Asia, Monochrome aims to tap into the growing institutional demand for Bitcoin as the industry matures. The fund’s launch just before Bitcoin’s next halving event could further boost interest in the asset class.
With Monochrome leading the way as the first to hold physical bitcoin in an Australian ETF, the firm could quickly establish dominance in the local ETF space. This move could also validate Bitcoin as a legitimate investment option in Australia.
