Monochrome's Flagship Spot Bitcoin ETF to Debut on Cboe Australia

Australian asset manager Monochrome intends to launch its prominent spot Bitcoin exchange-traded fund (ETF) on the Cboe Australia global listing exchange. Monochrome received approval from the Australian Securities and Investments Commission (ASIC) and anticipates Cboe Australia's approval by June. The Monochrome Bitcoin ETF, if approved, will be Australia's first spot Bitcoin ETF with direct Bitcoin (BTC) holdings, offering investors a direct and transparent exposure to the cryptocurrency.

Monochrome's Flagship Spot Bitcoin ETF Set to Launch on Cboe Australia

Australian asset management firm Monochrome has announced plans to launch its flagship spot Bitcoin exchange-traded fund (ETF) on the international listing exchange Cboe Australia. The move comes after Monochrome filed for the spot Bitcoin ETF in July 2023.

Upon approval, the Monochrome Bitcoin ETF will become Australia's first spot Bitcoin ETF to allow direct holding of Bitcoin (BTC). While Australian regulators have previously greenlit two exchange-traded products (ETPs) that provide exposure to spot crypto assets on Cboe Australia, these products do not directly hold Bitcoin. Instead, they invest in investment products that have exposure to spot Bitcoin ETF.

To list their spot Bitcoin ETF in Australia, asset managers must first obtain approval from the securities regulator and subsequently apply for an exchange listing. Monochrome has already secured approval from the Australian Securities and Investments Commission (ASIC) and anticipates Cboe Australia to clear its application by June.

Initially, Monochrome intended to launch its spot Bitcoin ETF via Cboe rival ASX. However, Jeff Yew, CEO of Monochrome Asset Management, stated that the selection of Cboe Australia as the listing venue for the Monochrome Bitcoin ETF aligns more closely with the firm's strategic vision, market reach, and time frame. Yew elaborates:

"We expect a decision from Cboe Australia regarding the Monochrome Bitcoin ETF before mid-2024. The Monochrome Bitcoin ETF is poised to be Australia's first Bitcoin ETF authorized to hold Bitcoin directly."

Yew emphasizes that the primary distinction between existing ETPs and the Monochrome spot Bitcoin ETF is that it offers investors a direct and transparent avenue to exposure. This approach mirrors the structure of spot Bitcoin ETFs in the United States.

The introduction of spot Bitcoin ETFs has attracted significant attention from governments globally since the U.S. Securities and Exchange Commission approved 11 spot BTC ETFs on January 11th. The successful launch of spot BTC ETFs in the U.S. has spurred other countries to explore the possibility of introducing comparable products in their own markets.