Notes

Cboe Australia Debuts Monochrome Bitcoin ETF with 0.98% Fee
I recently read a report on the Coinatory portal about the Monochrome Bitcoin Exchange-Traded Fund, which is listed under the ticker IBTC and is set to start trading on the Cboe Australia exchange. Confirm now , with a management fee of 0.98%, is presented by Monochrome Asset Management to grant investors a regulated method to access Bitcoin. The Australian Securities & Investments Commission (ASIC) oversees this framework, guaranteeing both investor protection and compliance with financial regulations.


Monochrome Asset Management has highlighted that investors have legal rights to their Bitcoin within the fund and can request withdrawals. This ETF distinguishes itself as the first and only fund in Australia to hold Bitcoin directly, positioning the Cboe exchange as the pioneering platform in the country for offering a Bitcoin ETF. The Australian Securities Exchange (ASX) is also planning to approve spot Bitcoin ETFs by the end of the year.

The Monochrome Bitcoin ETF is designed to closely mirror BTC market prices, designed to resist market manipulation and verified by market participants. Monochrome collaborates with the crypto exchange Gemini, which acts as the custodian for the Bitcoin held by the ETF. This association ensures that the ETF can maintain its goal of accurately tracking Bitcoin's price.

A spot crypto ETF, like this one, tracks the price of a specific cryptocurrency and directly invests in that crypto. These funds are traded on public exchanges and generally follow the price movements of the underlying cryptocurrency. Similar to traditional ETFs, crypto ETFs can be held in standard brokerage accounts, providing a familiar investment vehicle for traditional investors.

The launch of this spot Bitcoin ETF comes at a particularly advantageous time for the crypto industry, given the favorable political and global landscape. In early 2024, the U.S. Securities and Exchange Commission approved several spot Bitcoin ETFs for listing on all registered national exchanges in the U.S. This approval marked a significant milestone for the broader acceptance and adoption of Bitcoin ETFs in mainstream financial markets.

Additionally, in mid-April, Hong Kong conditionally authorized its first spot Bitcoin and Ethereum ETFs, positioning the city as a leading hub for crypto investment in Asia. This move highlights the growing global acceptance of cryptocurrencies and the increasing interest in crypto ETFs as a viable investment option. Furthermore, the U.S. House of Representatives passed the Financial Innovation and Technology for the 21st Century Act (FIT21), which indicates a welcoming stance toward the crypto industry and aims to foster innovation and technological advancement within the sector.

As Coinatory mentioned, the Monochrome Bitcoin ETF offers a unique opportunity for investors to gain exposure to Bitcoin in a regulated and secure manner. The involvement of the ASIC ensures that the fund adheres to stringent regulatory standards, providing peace of mind for investors. The partnership with Gemini as the custodian further enhances the security and reliability of the ETF.

In summary, the launch of the Monochrome Bitcoin ETF on the Cboe Australia exchange represents a significant development in the crypto investment landscape. It provides investors with a regulated and transparent way to invest in Bitcoin, leveraging the expertise of Monochrome Asset Management and the custodial services of Gemini. As the crypto industry continues to evolve and gain acceptance, this ETF is poised to play a crucial role in bringing Bitcoin to a broader audience of traditional investors.

Read More: https://coinatory.com/cryptocurrency-news/australias-first-spot-bitcoin-etf-set-to-launch-tuesday-19502/