The Australian Securities Exchange (ASX), the largest stock market in Australia, has listed its first spot as a Bitcoin exchange-traded fund (ETF).
The ETF went live on the exchange on June 20. VanEck, an investment management firm, will offer the ETF product. The product will be traded at the ASX as the VanEck Bitcoin ETF under the ticker $VBTC.
Australia’s Securities Exchange Debuts First Bitcoin ETF
The launch of this product follows the notable success of the spot Bitcoin ETFs launched in the US earlier this year. 11 Bitcoin ETFs have been listed in the US and have achieved over $15 billion in inflows.
Asset management firms worldwide are exploring the ETF space as investors seek to diversify into crypto. Besides the US, Hong Kong has also made history with Bitcoin ETFs after much demand from investors.
The ASX accounts for 90% of the Australian stock market and is now looking to dip its toes in this space. VanEck will issue the Bitcoin ETFs, noting increased demand from investors.
While commenting on the launch, VanEck’s CEO, Arian Neiron, said, “The demand for access to Bitcoin via a listed vehicle traded on ASX has been increasing, and many of our clients have told us that their clients are already positioned to have an allocation ready to invest.”
The ETF is already amassing interest from eager investors, given that it amassed $1.5 million worth of volumes within a few hours after launch.
It is wise to note that the VanEck spot Bitcoin ETF will not be the first in Australia. The first Bitcoin ETF to launch in Australia was the Global X 21 Shares Bitcoin ETF which went live in April 2022. Following regulatory approval, the Monochrome Bitcoin ETF also started trading on June 4 at the Cboe Australia exchange.
However, the largest Australian exchange, ASX, has never launched a spot Bitcoin ETF, with this product now being the first of its kind.
Inflows Into US Bitcoin ETFs Slow
Launching a spot Bitcoin ETF on the largest Australian exchange comes as these products witness significant outflows.
The 11 ETFs listed in the US have posted a continuous 4-day outflow streak. On June 18, these products saw outflows of $152 million. Some largest issuers, including BlackRock and Fidelity, have also failed to attract significant flows.
The outflows come as the price of BTC continues to record a slump. BTC is down 8% in the last 30 days. The coin was trading at $65,462 as of 02:25 EST.
