Australia Poised to Approve Bitcoin ETFs, Following US Success
Recent reports indicate that Australian exchanges are considering approving a spot Bitcoin exchange-traded fund (ETF) for Australian investors. This move follows the success of Bitcoin ETFs in the United States, where they have amassed over $53 billion in assets under management. The Australian Securities Exchange (ASX), which controls around 90% of Australia’s equity market, is reportedly considering approving Bitcoin ETFs before the end of 2024.
According to Bloomberg, some local institutions have already applied for spot Bitcoin ETFs. For example, DigitalX Ltd., an Australian institution, submitted an application in February. Additionally, VanEck has renewed its interest in launching a Bitcoin ETF earlier this year.
Australian Exchanges Eyeing Bitcoin ETF Approval
The Australian Securities Exchange (ASX) is reportedly considering approving spot Bitcoin ETFs before the end of 2024. This move comes as a result of the growing interest in these investment products globally and the success they have seen in the United States.
Some local institutions in Australia have already submitted applications for spot Bitcoin ETFs. For instance, DigitalX Ltd., an Australian institution, applied for approval in February. VanEck has also expressed interest in launching a Bitcoin ETF.
Bitcoin ETFs Gain Momentum Globally
The performance of US-based Bitcoin ETFs has attracted global attention and sparked interest in other regions. These investment products have accumulated over $53 billion in assets under management, making them highly appealing to investors around the world.
The head of digital at BetaShares, Justin Arzadon, views the success of US-based Bitcoin ETFs as inspiring and believes it demonstrates that digital assets are here to stay. This positive sentiment has contributed to the growing interest in Bitcoin ETFs, not only in Australia but also in other countries.
Australia’s Competitive Crypto Landscape
The cryptocurrency space in Australia has become increasingly competitive in recent years. The potential approval of Bitcoin ETFs could further fuel this competition and attract more investors to the Australian market. Jeff Yew, the CEO of Monochrome, a crypto asset management firm, believes that Bitcoin ETFs could be a game-changer for the Australian market.
Yew predicts that Bitcoin ETFs could bring in around $3 billion to $4 billion in net inflows within the first three years. He expects fund managers, self-managed super fund (SMSF) investors, and retail users to be key drivers of demand for these investment products.
Hot Take: Bitcoin ETF Approval Could Boost Australian Crypto Market
The potential approval of spot Bitcoin ETFs in Australia has the potential to transform the country’s crypto landscape. If approved, these investment products could attract billions of dollars in investments and drive further growth in the Australian crypto market. With interest in Bitcoin ETFs growing globally, Australia is positioning itself as a key player in the cryptocurrency industry.
Investors and crypto enthusiasts should keep a close eye on developments regarding Bitcoin ETF approval in Australia. If approved, it could open up new investment opportunities and provide easier access to Bitcoin for Australian investors.
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