Last month crypto enthusiasts from Australia received positive bitcoin news† The country’s financial regulator then had namely being first bitcoin exchange traded fund (ETF) approved† ETFs are publicly traded funds. A first bitcoin ETF in Australia has been expected for a while and has been eagerly anticipated. As of today, there are three crypto ETFs to trade, but this is off to an extremely slow start. This has everything to do with the crypto crash we are in the middle of.
The trading volume is well below the $1 billion originally expected. This is directly related to the fact that bitcoin is at its lowest point since 2020† The extreme volatility that prevails now means that investors are not as eager for a bitcoin ETF as they had hoped last month.
Bitcoin ETFs in Australia
The three crypto funds that went live in Australia today are the 21Shares bitcoin (BTC) ETF, their ethereum (ETH) ETF and the Cosmos Purpose bitcoin ETF. The Cosmos ETF saw trading volume of $400,000 in its first hour. The 21Shares bitcoin ETF can provide similar numbers. The Ethereum ETF did not go above $150,000 in that same time frame. So meager numbers, which do not match the original expectations.
Cosmos Asset Management CEO Dan Annan also understands and sees that investors are quite cautious right now. Still, Annan is hopeful for the long term:
“Investors with a long-term view to Bitcoin and cryptocurrency exposure will understand that this is a good opportunity for an entry point. Therefore, we hope to see an increase in volumes in the coming days.”
To make trading a little more attractive and in the hopes of increasing volumes, Cosmos has decided to no trading fees for the first two months† This decision is also partly due to the slight frustration that investors have. The bitcoin ETF was supposed to go live two weeks ago, but this was unexpectedly postponed.
