VanEck's Bitcoin ETF Begins Trading on Australian Securities Exchange
Summary:
Australia's first Bitcoin ETF, created by VanEck, started trading on the Australian Securities Exchange, amassing $1.3m in trade volume on its opening day. The firm anticipates growth similar to spot Bitcoin ETFs in the US, despite the smaller market size in Australia. The Bitcoin ETF simplifies the acquisition process by managing core technicalities, making Bitcoin more accessible to investors. While it's the first spot Bitcoin ETF listed on ASX, two other Bitcoin ETF products have already launched in Australia.
Australia's premier Bitcoin (BTC) exchange-traded fund (ETF) began trading on the Australian Securities Exchange, amassing $1.3 million in transactions on its first day. This figure comes up significantly short when compared to the $4.5 billion trading volume witnessed on the inaugural day of the United States' spot Bitcoin ETFs, spread across ten funds with average trading volumes of $450 million each.
VanEck, the company behind the VanEck Bitcoin ETF (VBTC), conveyed optimistic hopes to Cointelegraph that growth would align with that of spot Bitcoin ETFs in the US, in spite of the dissimilar market sizes. Jamie Hannah, VanEck's deputy head of investments and capital markets, expressed belief in a parallel trajectory despite the smaller scope of the Australian market and a predominance of retail over institutional flow.
Hannah further highlighted substantial interest from retail and professional investors in using the ASX to acquire bitcoin exposure. VBTC opened the day trading at $13.24, closed at $13.34, and traded 96,476 shares over the day, according to ASX data. The daily trading ended with VBTC valued at $20.01.
The growing demand in Australia, particularly for an investment vehicle that promises regulation, transparency, and familiarity, has been underscored by VanEck CEO for the Asia-Pacific region, Arian Neiron. He acknowledges Bitcoin as a budding asset class that's gaining interest from advisors and investors alike.
Neiron further states that VBTC simplifies Bitcoin acquisition by handling all behind-the-scenes intricacies. Knowledge of technological aspects such as procurement, storage, and digital assets security is no longer a requirement.
While it may be the first spot Bitcoin ETF on ASX, there's already been a launch of two other Bitcoin ETFs in Australia. The recently approved Monochrome Bitcoin ETF (IBTC) has begun trading on Cboe Australia Exchange, the country's second-largest stock exchange. Earlier, in April 2022, the debut of Global X 21Shares Bitcoin ETF (EBTC) marked the first Bitcoin ETF product in Australia.
Published At
6/20/2024 9:33:48 AM
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