Next week, Australia’s first Bitcoin (BTC) exchange-traded fund (ETF) will be listed on the Cboe. The first Bitcoin ETF in Australia has been approved for launch next week. The clearinghouse that handles access to the country’s stocks capital markets, ASX Clear, has won regulatory permission for a Bitcoin ETF.
ASX Clear now has four market participants prepared to deal with Bitcoin settlement risks. The Cosmos Asset Management Bitcoin ETF will be permitted to trade on the Cboe on April 27. It is expected that $1 billion will flow into Australia’s first Bitcoin ETF when it goes public.
The first Bitcoin ETF in Australia has been approved for launch next week
The Cboe equities trading platform will introduce Australia’s first Bitcoin (BTC) exchange-traded fund next week (ETF). ASX Clear, the clearinghouse that oversees access to the country’s stock capital markets, has received regulatory approval for a Bitcoin ETF.
According to the Australian news site AFR, the clearing house that regulates access to the country’s equity capital markets will approve the country’s first Bitcoin ETF once a sufficient number of market players agreed to strict margin requirements.
ASX Clear, a prominent clearing house at the heart of Australia’s stock capital markets, now has four market participants prepared to put their money where their mouth is and fulfill the severe margin requirements required to cover the Bitcoin settlement risks.
It is anticipated that three institutional-grade clearing participants and one large retail clearing player are currently willing to pay the 42 percent margin necessary by ASX Clear before trading in a Bitcoin ETF can begin.
The Cosmos Asset Management Bitcoin ETF, the only Bitcoin ETF currently registered on ASX Clear, will be permitted to trade on the Cboe on April 27, when the market opens. It is expected that $1 billion will flow into Australia’s first Bitcoin ETF when it goes public next week.
Opponents alleged that the delay in approving ASX Clear’s application to trade a Bitcoin ETF was done to shield the ASX trading venue from the competition.
The Australian Securities and Investments Commission (ASIC) advised a Bitcoin financial promoter two years ago that a listed retail Bitcoin product was not permitted in Australia at the time.
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