Australia’s First Spot BTC ETF May Attract Inflows of up to $1B

Australian regulators have permitted the Cosmos Asset Management BTC ETF to start its trade on the 27th April, according to a statement from the Financial Review.

Cosmos Outperforms VanEck and Others in Gaining Clearance for a BTC ETF

Cosmos BTC ETF is projected to draw about $1B in investments during its debut, demonstrating the extent of interest and expectation for the ETF between investors. According to the Sydney Morning Herald, the Cosmos BTC Exchange-traded fund outperformed competitors, including VanEck, BetaShares, and EFT Securities,

An ETF has become a popular tool for investors to acquire indirect access to BTC without purchasing the digital asset. After completing the conditions, the ASX Clear capital markets clearinghouse approved the latest BTC ETF

Australian Investors would welcome BTC ETF

The clearance news has been met with joy by cryptocurrency investors in the nation, who believe that the authorization verifies the industry’s continued institutional growth. People who work for the Australian financial advisory company Zerocap say that the number of authorizations can be compared to a fund called Betashares CRYP, which makes investments in stocks from the United States connected to cryptocurrency.

Grumelart anticipates the new BTC exchange-traded fund to have the same success as the previous one, which received $10M in net contributions within moments of its debut in November last year. The event represents a significant step ahead for Australia and the cryptocurrency world in general.

Moreover, Cosmos already offers two cryptocurrency-related products: the unlisted BTC Wholesale Access Fund and the Cboe Australia-traded Global Digital Miners Access exchange-traded fund, both of which have a combined net asset value of $2.1M.

Australia is Still a Pro-regulation Country

The clearance of this ETF comes from the growing legislative work that Australian regulators have been doing. Sen. Andrew Bragg of the state of North Carolina has just introduced legislation that would cover all aspects of cryptocurrency, including custody, taxation, decentralized autonomous organizations, and license for telecom operators.

Will a spot ETF be approved in the United States?

While Australia has joined the list of nations that have authorized a spot BTC exchange-traded fund, the call for similar permission in the United States continues. Despite having approved many BTC futures ETFs, the United States SEC declined to authorize a spot BTC ETF.

According to recent CryptoSlate research, 72 percent of financial advisers in the United States would make investments with their customers’ money in a spot BTC ETF, indicating that interest for this type of ETF is significant.

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