VanEck, a well-known investment firm, has made a long-awaited announcement in the cryptocurrency market: they have received regulatory approval to launch their very first Bitcoin exchange-traded fund (ETF) on the Australian Securities Exchange (ASX). This debut is set for June 20th, offering Australian investors a unique opportunity to enter the Bitcoin market in a regulated manner.
Throughout 2021, VanEck has been diligently working towards making this ETF a reality. After a resubmission of the application in February, their hard work has finally paid off. The company acknowledged the challenges they faced, such as regulatory and exchange infrastructure hurdles, but they remain committed to leading the Australian market with this innovative product.
This news from VanEck comes at a critical moment, following the recent approval of a similar ETF by Monochrome Asset Management on Cboe Australia, another significant exchange in the country. Monochrome’s ETF is positioned as the first in Australia to directly hold Bitcoin, signaling the increasing competition and interest in this financial product.
Interest in Bitcoin ETFs extends beyond Australia, with the United States witnessing the approval of Bitcoin ETFs by the Securities and Exchange Commission (SEC) in January. This move has further legitimized cryptocurrency among both institutional and retail investors. Bitcoin is often referred to as “digital gold,” serving as a store of value and a hedge against inflation, contributing to its recent price surge in early 2024.
The North American market is now focusing on the potential launch of Ethereum-based ETFs, following the unexpected approval by the SEC last month. SEC Chairman Gary Gensler has indicated that Ethereum products are expected to hit the market this summer.
It is important to note that the opinions expressed in this article are for informational purposes only and do not constitute financial or investment advice. Investing in cryptocurrencies carries inherent risks of financial loss.
In other news, a co-founder of Tether has hinted at upcoming crypto ETFs in the pipeline, while a Bitcoin whale has made a significant move by transferring 8,000 BTC after years of inactivity.