The Australian Securities Exchange (ASX) has approved its first-ever spot Bitcoin exchange traded fund (ETF). In an announcement, investment giant VanEck revealed that the ETF is set to begin trading on 20 June 2024, under the ticker VBTC.
“The VanEck Bitcoin ETF will be the lowest cost bitcoin ETF in Australia,” said the company’s announcement.
Listing on @ASX this Thursday! $VBTC
Learn more: https://t.co/5THpcAHblU pic.twitter.com/BjfAAl0UK3— VanEck Australia (@vaneck_au) June 16, 2024
Following America’s suit of making ETFs a reality and marking a major step in its global acceptance, Australia’s VanEck intends to lead the way in bringing the first Bitcoin ETF to ASX investors.
However, the company acknowledges that there are regulatory hurdles to clear in the future, along with exchange framework challenges.
VanEck’s 2021 Application For Spot Bitcoin ETFs Finally Sees Green Light
The company’s efforts to bring a regulated Bitcoin investment vehicle to Australian investors received the nod after three years. VanEck had submitted the application back in 2021.
According to the company, it has been engaged with bringing a spot bitcoin ETF to ASX since early 2021.
VanEck, as the first fund manager to work with the regulator and exchange on the mechanics, was the first to formally lodge a submission for a bitcoin ETF to ASX. “We resubmitted our bitcoin ETF application to the ASX in February this year,” insisted VanEck.
What Does It Mean For Australia?
This ETF marks a significant milestone for the country. For Australia, the introduction of spot Bitcoin ETF on the ASX may mean a regulated avenue for crypto investors.
🇦🇺 Australia approved a Bitcoin ETF by VanEck. 📈
It starts trading on Thursday. 🙌
Aussies are bullish on BTC! 🚀🚀🚀#bitcoin #btc #crypto #cryptomemes #breaking #News #bullish #bullrun pic.twitter.com/LLf4ZqvvLT
— Ingenuity_Crypto (@ingenuitycrypto) June 17, 2024
Furthermore, it may potentially attract a broader range of investors too, including those who have been hesitant of crypto in the past.
This approval is particularly noteworthy as it comes earlier than expected. The word on the market was that the first batch of spot Bitcoin ETFs would be greenlighted by the end of 2024.
According to Jamie Hannah, Deputy Head of Investments and Capital Markets at VanEck, “up until recently, investors could only invest directly in bitcoin through crypto exchanges.”
“Crypto exchanges have evolved and grown,” said Hannah. “ETFs have also made available investment opportunities that were previously inaccessible for everyday investors. We think bitcoin is one such opportunity.”
Read more: What are Bitcoin ETFs? A Beginner’s Guide (Updated 2024)
In the US, VanEck was the first established ETF issuer to file for a futures-based bitcoin ETF in 2017 and a spot Bitcoin ETF in 2018.
Despite US regulatory headwinds, the firm said that its digital assets efforts continued with product development and investment globally.
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
