Australia launches Bitcoin ETFs as market crashes

  • Australian bitcoin ETFs went live on Thursday.
  • Both a bitcoin spot fund, the first in the country, and a fund of funds launched on the Australian Cboe.
  • The launch was tentative amid a broader market sell-off.

According to a press release sent to Bitcoin Magazine.

The 21Shares Bitcoin ETF (EBTC:AU) is a spot bitcoin ETF offered in partnership with ETF Securities. EBTC invests directly in bitcoin and stores it in cold storage on Coinbase. The Cosmos Purpose Bitcoin Access ETF (CBTC:AU), meanwhile, invests in the Purpose Bitcoin ETF, the world’s first physically settled bitcoin ETF in North America.

Both ETFs were launched as bitcoin continues to search for a new support line below $29,000 while the broader cryptocurrency market suffers. After plunging below $28,000 overnight, investors looking to invest in these new funds will find a different valuation than they would have seen had the original release date not been pushed back by the Cboe on the 27th. april.

“There are strong signs of capitulation in crypto this week, which often produces bounces,” said Tony Sycamore, senior market analyst for City Index. Bloomberg. “Assuming the recovery gains traction, this will help gain support for newly listed ETF products as well as continued broader adoption.”

Bitcoin has amassed around $1.16 billion in assets since its launch in 2021 and holds its bitcoin with cryptocurrency custodian Gemini, according to the release.

“By bringing CBTC to market on Cboe Australia, Cosmos is making Bitcoin accessible to investors in a secure and recognizable structure, all backed by the world’s first physically installed Bitcoin ETF,” said Cboe Australia CEO Vic Jokovic. in the press release.