Monochrome Asset Management announced the launch of its Monochrome Bitcoin (BTC) Exchange-Traded Fund (ETF), which is set to begin trading on the Cboe Australia exchange on Tuesday. This ETF, denoted as IBTC, marks the first and only ETF in Australia that directly holds Bitcoin, rather than providing exposure through indirect means or offshore products.
The IBTC ETF is scheduled to start trading on Cboe Australia this coming Tuesday. The application for the spot Bitcoin ETF was submitted by Monochrome in April 2024. The ETF will be traded on Cboe Australia, enhancing the accessibility of directly held Bitcoin investments for Australian investors under local regulatory protections.
Monochrome’s move to launch a directly held Bitcoin ETF follows the regulatory approval from the Australian Securities & Investments Commission (ASIC) and the subsequent listing approval from Cboe Australia. This product aims to provide Australian investors with a more secure and regulated way to invest in Bitcoin, aligning with Monochrome’s mission to offer compliant and straightforward investment pathways in the digital asset space. The launch comes amid a broader global trend of increasing acceptance of cryptocurrency ETFs, with the U.S. having approved similar products earlier in January 2024 and Hong Kong following suit by April 2024.
The introduction of IBTC comes as a significant development in the Australian financial market, providing a regulated investment vehicle for direct Bitcoin exposure, a first in Australia’s crypto asset market. Previously, Australian investors had to rely on ETFs that only indirectly held Bitcoin or delve into offshore Bitcoin products, which did not benefit from the local investor protection rules under the Australian Financial Services Licensing (AFSL) regime. The new ETF not only simplifies the investment process in cryptocurrencies but also enhances investor protection by adhering to AFSL guidelines, setting a new standard for crypto investments in the region. This strategic move by Monochrome is part of a broader effort to cement Australia’s position as a competitive player in the global digital assets market.
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