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Australia’s ASX Expected to Approve Spot Bitcoin ETFs
In a recent report by Bloomberg, it has been revealed that Australia’s largest securities exchange, ASX, is poised to approve spot Bitcoin exchange-traded funds (ETFs) within this year.
Sources familiar with the situation have indicated that the green light for spot Bitcoin ETFs is anticipated to be given “before the end of 2024.” A spokesperson from ASX stated to Bloomberg that discussions are ongoing with several issuers who are keen on introducing cryptoasset-based ETFs, although a specific timeline has not been committed to.
It is noteworthy that while asset manager 21Shares originally introduced spot Bitcoin ETFs in Australia back in 2022 on the CBOE Australia exchange, the lion’s share of the country’s equity trading is facilitated through ASX, accounting for approximately four-fifths of the total market.
Applications Pending from Key Asset Managers
Several asset management firms, including VanEck, DigitalX, and BetaShares, have submitted applications for Australian spot Bitcoin ETFs. The head of digital assets at BetaShares highlighted that the substantial inflows into U.S. Bitcoin ETFs serve as evidence of the staying power of digital assets.
In the United States, spot Bitcoin ETFs received approval in January, leading to an initial surge in inflows. However, recent data from Farside Investors indicates that the enthusiasm among investors has moderated, resulting in three consecutive days of outflows.
Over the last 10 days, only three days witnessed positive net inflows into U.S. spot Bitcoin ETFs, as investors reacted cautiously to the slower-than-expected economic growth in the first quarter and the prospect of sustained high interest rates.
Global Interest Remains Strong
Despite the subdued enthusiasm for U.S. spot Bitcoin ETFs, global interest in these products remains robust. The Securities and Futures Commission (SFC) in Hong Kong recently granted approval for multiple spot Bitcoin and Ethereum ETFs from asset managers such as ChinaAMC, Harvest, and Bosera HashKey, with trading scheduled to commence this week.
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