Australia’s first Bitcoin ETF has been listed on the ASX, marking a significant milestone and reflecting cryptocurrency’s growing influence in the Asia-Pacific region.
Australia Joins Global Trend with VanEck Bitcoin ETF Debut on ASX, Reflecting Growing Cryptocurrency Influence in Asia-Pacific Markets
According to Bloomberg, marking a significant milestone, Australia has joined the global trend of bitcoin ETF listings with the debut of an exchange-traded fund on its primary stock market. This move follows similar listings in the United States and Hong Kong earlier this year, underscoring the growing influence of cryptocurrency in the Asia-Pacific region’s virtual-asset market.
On June 20, the VanEck Bitcoin ETF made its début on the ASX Ltd exchange, with a seed investment of approximately A$985,000 (RM3.1 million). The product is a feeder fund for the US$647 million VanEck Bitcoin Trust held in the United States.
In January, US bitcoin ETFs were launched and have since amassed US$56 billion in assets, causing a significant stir on Wall Street. As permitted in April, interest in spot ETFs for bitcoin and ether in Hong Kong has been a fraction of that of the US vehicles.
BetaShares Holdings Pty, a Sydney-based company, and DigitalX Ltd, another local participant, also register for listings on the primary Australian Board. A spokesperson for the ASX has stated that VanEck is the sole applicant to have received a green light thus far and that discussions with other issuers are ongoing.
CBOE Australia Offers Crypto ETFs as Asia-Pacific Region’s Virtual-Asset ETF Market Predicted to Exceed $3 Billion
The other bourse in the country, CBOE Australia, already offers crypto ETFs. Global X 21Shares Bitcoin, Global X 21Shares Ethereum, and Monochrome Bitcoin, the latter, have a combined asset value of approximately US$90 million.
Looking ahead, Bloomberg Intelligence senior ETF analyst Rebecca Sin predicts that the Asia-Pacific region’s potential for virtual-asset ETFs will exceed US$3 billion in the coming years. This projection, expected to be evenly distributed between Australia, Hong Kong, and South Korea, highlights the region’s growing interest in cryptocurrency investments.
In a resurgence from a severe bear market, Bitcoin has nearly quadrupled in value since the beginning of 2023. In March, the rally reached a record high of US$73,798; however, momentum has since halted, and the token has fallen.
A competitor exchange in Australia run by the local subsidiary of CBOE Global Markets (CBOE.Z), opens new tab already hosts several bitcoin ETFs.
However, the VanEck Bitcoin ETF is the first fund to launch on the main exchange, where it will share the tickertape with some of the country’s most well-known corporations such as BHP (BHP.AX), and Commonwealth Bank (CBA.AX).
