The Australian Securities Watchdog has given digital Monochrome Asset Management permission to launch spot cryptocurrency exchange-traded funds (ETFs).
Monochrome Asset Management is one of the first asset management companies to obtain an Australian financial services license (AFSL) from the Australian Securities & Investments Commission (ASIC) for blockchain ETFs, according to a formal release. The company stated that the Monochrome Bitcoin ETF products provide individual investors with direct insured exposure to and experience with the performance of Bitcoin, Ethereum, and other cryptocurrencies. The asset management, however, remained mum regarding the product’s trading launch date.
Monochrome Asset Management Has Got The Approval To Offer Spot Crypto
The idea for a Bitcoin ETF from Monochrome Asset Management has been under development since February 2022. In order to shed light on the expansion of the bitcoin investment industry, the company at the time started a series. The asset management also looked at American initiatives for the introduction of a Bitcoin ETF.
While the U.S. has approved a number of Bitcoin ETFs with futures contracts, it has consistently rejected all requests for a spot-based Bitcoin ETF. The U.S. Securities and Exchange Commission just rejected the Grayscale Bitcoin ETF (SEC). Former CEO of Binance Australia Jeff Yew founded Monochrome in early 2021 to promote the institutional use of cryptocurrency assets in Australia.
The Monochrome Asset Management Bitcoin Fund, a capital growth investment instrument for wholesale clients, is possibly the asset manager’s most well-known product. After obtaining $1.8 million in a Series A investment round in September 2021, the company’s last valuation was $15 million. Reputable crypto entrepreneurs led the fundraiser, including Charlie Lee of Litecoin, Samson Mow of Blockstream, Wei Zhou, and Kain Warwick of former Binance.
The Cosmos Purpose Ethereum Access ETF (CPET), Australia’s first spot-based Bitcoin ETF, has received mixed reviews since it launched on the Cboe Australia exchange on May 12, 2022.