Aussie crypto ETFs are seeing a trading volume of $1.3 million so far on a difficult launch date.


As the crypto market plummeted, three crypto-focused exchange-traded funds (ETFs) chose a difficult day to start trading on local exchange Cboe Australia today.

The launch of the trio is the first crypto ETF launched in Australia, two of which focus on providing exposure to Bitcoin (BTC) and the other focusing on Ethereum (ETH).

So far, the three ETFs have generated more than $1.3 million between them, and are estimated to bring in about $1 billion worth of money going forward.

The Cosmos Purpose Bitcoin Access ETF (CBTC) from Sydney-based crypto investment firm Cosmos Asset Management provides a relatively indirect route to BTC. Purpose Bitcoin ETF.”

The other two ETFs were developed by ETF Securities in partnership with 21 Shares, a leading Swiss exchange-traded fund (ETP) provider. This fund is referred to as the Bitcoin ​ETF (“EBTC”) Ethereum ETF (“EETH”). Both track the value of the asset in Australian Dollars (AUD).

According to Cboe data at the time of writing, 21 Shares EBTC and EETH traded 125,271 shares and 142,206 shares, equivalent to approximately $519,874 and $416,663 respectively.

Cosmos Asset Management’s fund had a relatively slow start with 51,572 shares traded for a total of $398,135, but activity could soon recover as it waived fees on CBTC for two months to attract institutional attention.

Regarding the Cointelegraph launch, Kanish Chugh, head of ETF securities distribution, said the launch was difficult amid the cryptocurrency market crash, but it offers investors a reasonable opportunity to get skins in-game.

“Given how volatile the current market is in the short term, it will be difficult to determine how Bitcoin and Ethereum will perform. However, what we are seeing is that with Bitcoin dropping more than 50% from its 2021 highs, investors are considering the current volatility as an investment opportunity. “

“With our crypto ETFs physically backed and tracking the underlying prices of Bitcoin and Ethereum, we have great hopes that EBTC and EETH will be successful in the long term,” he added.

In the public announcement, ETF Securities Chairman Graham Tuckwell emphasized the importance of launching a crypto ETF in a local context, given the status of BTC and ETH.

“The market capitalization and trading volume of these two major cryptocurrencies are now greater than any company listed on the Australian Stock Exchange, but investors cannot access cryptocurrencies in a regulated way,” he said.

But despite the landmark moments, not everyone was optimistic. Kraken’s Australian branch manager Jonathon Miller welcomed “an important milestone for the maturation of the digital asset space,” noting that investors can already buy bitcoin.

“But accessibility is not necessarily a watershed moment. We must remember that individual investors can already buy Bitcoin directly, and each layer of abstraction decoupled from the underlying asset can add risks and costs.”

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