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Australian Bitcoin ETF Could Launch By Late 2024

Key Points:

Australian Bitcoin ETF is preparing to launch, with ASX Ltd. expected to approve spot Bitcoin ETFs by year-end.
Local firms like BetaShares and DigitalX Ltd. are gearing up for ETF launches on the Australian Securities Exchange.
Previous Australian Bitcoin ETF attempts had mixed results, with one delisting, leaving the Global X 21Shares Bitcoin ETF as the only one currently available.

Australia is set to join the ranks of countries offering Bitcoin exchange-traded funds (ETFs), following the footsteps of the United States and Hong Kong. ASX Ltd., responsible for about 80% of the country’s stock trading, is poised to greenlight the first batch of Australian Bitcoin ETFs on the main board by the end of 2024, as reported by Bloomberg.

Australian Bitcoin ETF Could Launch By Late 2024 2

Australia Bitcoin ETFs Set to Launch Following Global Trend

BetaShares, headquartered in Sydney, is actively working towards launching a product on the Australian Securities Exchange, according to a spokesperson. DigitalX Ltd., another local player, confirmed its application in its half-year results in February.

Justin Arzadon, head of BetaShares’ digital assets division, emphasized the significance of the inflow of funds from the United States, underscoring the enduring relevance of digital assets. Arzadon also revealed that the company has reserved ASX stock codes for spot Bitcoin and spot Ethereum ETFs.

The move comes amidst the success of US Bitcoin ETFs, which amassed a staggering $53 billion this year alone, including offerings from industry giants like BlackRock Inc. and Fidelity Investments. Meanwhile, Hong Kong is set to begin trading funds investing directly in Bitcoin and Ether.

Mixed Results in Previous Australian Bitcoin ETF Attempts

The previous attempts of Australian Bitcoin ETFs saw two offerings debut on CBOE Australia in 2022, though one was subsequently delisted. Currently, the Global X 21Shares Bitcoin ETF stands as the sole spot Bitcoin ETF in the country, boasting approximately $62 million in assets under management, issued jointly by 21Shares and Global X ETFs in 2022. While Cosmos Asset Management also launched a spot Bitcoin ETF in 2022, it faced delisting due to low inflows.

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Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.