Regulation
VanEck to launch Australia’s first Spot Bitcoin ETF on ASX
TLDR
- VanEck will launch Australia’s first spot Bitcoin ETF on the Australian Securities Exchange (ASX) on June 20, 2024.
- The VanEck Bitcoin ETF (VBTC) will provide direct exposure to Bitcoin, offering investors a safe and regulated investment option in the cryptocurrency.
- The approval of the Bitcoin spot ETF on the ASX follows the successful launch of similar products in the US and Hong Kong earlier this year.
- Unlike derivatives-based crypto ETFs, the spot Bitcoin ETF will hold real Bitcoin, connecting traditional financial markets with the cryptocurrency industry.
VanEck is set to launch the country’s first spot Bitcoin exchange-traded fund (ETF). on the Australian Securities Exchange (ASX) on 20 June 2024.
The VanEck Bitcoin ETF (VBTC) will provide investors with direct exposure to the world’s largest cryptocurrency, marking an important milestone in the integration of digital assets into the traditional financial sector.
The approval of the Bitcoin spot ETF by the ASX and the Australian Securities & Investments Commission (ASIC) comes after VanEck’s persistent efforts to introduce such a product to the Australian market.
The company first applied for a BTC spot ETF in 2021 and resubmitted its offering in February 2024, following the success of similar products in the US and the advancement of Australian regulatory policies.
Arian Neiron, CEO and managing director of VanEck Asia Pacific, highlighted the growing demand for access to Bitcoin via a listed vehicle traded on the ASX, saying many of their clients have already positioned themselves to allocate funds into the new ETF.
The launch of VBTC on the ASX is particularly significant, as the exchange hosts around 90% of the equity portfolio in Australia, making it the optimal platform for VanEck to access the majority of the country’s capital market.
The VanEck Bitcoin ETF aims to offer investors a safe and regulated investment option, addressing common concerns about the volatility and safety of cryptocurrency investments.
By holding real Bitcoin, the spot ETF will provide a direct link between traditional financial markets and the fast-growing cryptocurrency sector, allowing investors to gain exposure to the digital asset without the need to navigate the complexities of cryptocurrency exchanges and wallets .
The one from Australia The spot ETF approval follows the successful launch of 11 Bitcoin spot ETFs in the US earlier this year, as well as the introduction of similar products in Hong Kong.
The US Securities and Exchange Commission (SEC) further built on the positive momentum last month by approving the sale of spot Ether ETFs, demonstrating a growing acceptance of digital assets by regulators around the world.
While Australia already had spot Bitcoin ETFs listed on other exchanges, such as the Global
The ASX approval brings greater visibility, credibility and access to exposure to Bitcoin for both institutional and retail investors, cementing the cryptocurrency’s position as a legitimate asset class.
ASIC has advised investors to remain aware of the risks associated with investing in funds that track cryptocurrency prices, as the market is still subject to high volatility and potential security threats.
However, the launch of the VanEck Bitcoin ETF on the ASX represents a cautious but progressive step in the integration of digital assets into the Australian financial ecosystem, offering investors a safer and more regulated avenue to participate in the cryptocurrency market.