Monochrome, an Australian asset manager, is preparing to introduce its primary spot Bitcoin exchange-traded fund (ETF) on the global listing exchange Cboe Australia.
In July 2023, Monochrome filed for the spot Bitcoin ETF. If approved, the Monochrome Bitcoin ETF would mark Australia’s first spot Bitcoin ETF to allow direct holding of Bitcoin (BTC).
Although Australian regulators have approved two exchange-traded products (ETPs) that offer exposure to spot crypto assets on Cboe Australia, these ETPs do not directly hold Bitcoin. Instead, they invest in investment products with exposure to spot Bitcoin ETF.
For asset managers to list their spot Bitcoin ETF in Australia, they must first obtain approval from the securities regulator and then apply for an exchange listing.
Monochrome has already received approval from the Australian Securities Exchange (ASX) and anticipates that Cboe Australia will approve its application by June.
Previously, the asset manager planned to launch its spot Bitcoin ETF through ASX, but Jeff Yew, CEO of Monochrome Asset Management, informed Cointelegraph that Cboe Australia was chosen as the listing venue for the Monochrome Bitcoin ETF as it aligns more closely with the company’s strategic vision, market reach, and time frame. Yew explained that the main difference between existing ETPs and the Monochrome spot Bitcoin ETF is that it provides investors with a simple, transparent path to exposure. It is structured in the same way as spot Bitcoin ETFs in the United States.
Spot Bitcoin ETFs have garnered attention worldwide since the U.S. Securities and Exchange Commission approved 11 spot BTC ETFs on Jan. 11. The successful launch of spot BTC ETFs in the U.S. has led other countries to consider introducing similar products in their own markets.