Monochrome Applies for spot Bitcoin ETF with Cboe Australia

Australia-based Monochrome Asset Manager has officially submitted an application for a spot bitcoin (BTC) exchange traded fund (ETF) with Cboe Australia, a global listing exchange, as announced by the company on Friday. If greenlit, the Monochrome Bitcoin ETF would mark a significant milestone as the first of its kind in Australia, enabling direct ownership of bitcoin.

Currently, Australia hosts two exchange-traded products on Cboe Australia offering exposure to spot crypto assets; however, they do not directly hold bitcoin.

The Monochrome Bitcoin ETF stands as a flagship offering from the firm. While it could have potentially been listed on ASX, Cboe Australia's larger competitor boasting higher trading volumes, Monochrome opted for Cboe Australia due to its strategic alignment with the company's objectives.

The decision to choose Cboe Australia as the listing venue was driven by Monochrome's strategic vision, aiming to collaborate with a market operator renowned for its established reputation, strategic positioning, and expertise across Asia, along with broader investor accessibility.

In Australia, unlike the U.S., regulatory approval from the Australian Securities & Investments Commission (ASIC) precedes the listing process on an exchange. Monochrome has already secured ASIC's approval for its product. “We expect a decision from Cboe Australia about our Bitcoin ETF application before the middle of the year," stated Jeff Yew, CEO of Monochrome Asset Management.

In January 2024, Monochrome Asset Management’s head of legal and compliance, Derek Vladimir Henningsen said in an interview that they anticipated their Bitcoin ETF would be listed in the second quarter of the year.

Cboe Australia is among Cboe Global Markets' five global listing exchanges. Approval of Monochrome's spot Bitcoin ETF would signify a notable advancement in the Australian crypto market, offering local investors a regulated investment vehicle for direct exposure to BTC.