The Australian Securities and Investments Commission (ASIC) said it has no objections to Cosmos Capital’s Bitcoin-based exchange-traded fund (ETF). The product could be listed on the country’s leading stock exchange [simple_tooltip content=’Australian Stock Exchange’]ASX[/simple_tooltip], according to Financial Rewiew.
ASIC Commissioner Cathy Armour refuted Cosmos CEO James Manning’s claim of a “secret policy” by the regulator regarding the registration of exchange-traded products.
Armour told the Senate committee on financial technology that ASIC has no problem with any such listing, provided the trading platform has appropriate investor-protection rules.
ASX Chief Executive Dominic Stevens explained that the decision to trade a Bitcoin ETF on the exchange was driven by growing market demand, despite a cautious approach to the product earlier.
“The world of Bitcoin has changed since the previous rally, and it seems to me that corporate and institutional activity now dominates,” Stevens said.
Earlier in Canada, the regulator approved the first exchange-traded fund based on the leading cryptocurrency, managed by Purpose Investments.
In the United States, proposals for similar products are currently being rejected by the Securities and Exchange Commission (SEC). At the time of writing, three proposals are under consideration by the regulator — from Bitwise, VanEck and Valkyrie Digital Assets.
SEC Commissioner Hester Peirce is confident that capital markets in the country are ready for the launch of a Bitcoin ETF.
Galaxy Digital founder Mike Novogratz believes the SEC will approve the first such investment instrument by the end of the year.
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