Bitcoin enthusiasts in Australia have something to celebrate! The Monochrome Bitcoin ETF, under the ticker IBTC, is now trading on the Cboe Australia (ASX: Cboe) exchange.
This is the first and only exchange-traded fund (ETF) in Australia that directly holds Bitcoin (BTC). Investors gain exposure to Bitcoin within a regulated framework overseen by the Australian Securities & Investments Commission (ASIC). IBTC offers investor protection and adheres to established financial regulations. Monochrome Asset Management, the issuer, emphasizes investors’ legal rights to the underlying Bitcoin and the ability to request withdrawals.
Cboe Australia becomes the first exchange in the country to offer a Bitcoin ETF, potentially capturing early market share. This preempts the ASX (Australian Securities Exchange), aiming to launch spot Bitcoin ETFs by year-end.
Transparency and Security
– Monochrome aims to ensure the ETF accurately reflects the spot market price of Bitcoin.
– The fund’s design aims to prevent manipulation and is subject to validation by market participants.
– Gemini, a reputable cryptocurrency exchange, acts as the custodian for the Bitcoin held by the ETF.
These ETFs directly invest in the underlying cryptocurrency, in this case, Bitcoin. Their value tracks the price movements of the specific crypto asset. They are traded on traditional stock exchanges, allowing investors to hold them in regular brokerage accounts.
The launch of IBTC marks a significant step towards wider Bitcoin adoption in Australia. Investors now have a regulated and secure way to gain exposure to this digital asset. This can potentially attract new investors to the cryptocurrency market while providing existing enthusiasts with a convenient investment option.
