Monochrome Asset Management, a company based in Australia, is preparing to launch its spot bitcoin exchange-traded fund (ETF) called IBTC on the Cboe Australia exchange on June 4th. This ETF will be the first in Australia to directly hold bitcoin, providing investors with a new option that offers the same level of protection as the Australian Financial Services Licensing (AFSL) framework established in 2021. Previously, Australian investors were only able to access indirect bitcoin ETFs or offshore options, which did not provide the same level of security. Monochrome’s CEO, Jeff Yew, expects there to be strong demand for this ETF, as there has been a recent surge in popularity for indirect bitcoin ETFs. The bitcoin reserves held by IBTC will be stored securely offline, following strict custody guidelines for Australian institutions. Unlike spot bitcoin ETFs in the United States, which are cash-based, Monochrome’s spot bitcoin ETF will allow for in-kind redemptions.
