The growing adoption of Bitcoin among institutional investors and traders has now extended to Australia, with debut of the VanEck Bitcoin ETF on the country’s main stock market.
Is Asia-Pacific Ready for a Crypto ETF Boom?
Following similar products approved in the United States and Hong Kong earlier this year, the VanEck Bitcoin ETF began trading on an exchange operated by Australian Stock Exchange (ASX) with a seed investment of approximately A$985,000 ($657,000).
The launch of the VanEck Bitcoin ETF in Australia coincides with preparations by other players, such as BetaShares Holdings Pty and DigitalX, who plan to list their crypto ETFs on Australia’s main board. Although VanEck has received approval, the ASX is ensuring continued engagement with other issuers.
In addition, crypto ETFs they are already available on CBOE Australia, another country’s stock exchange, with products such as Global X 21Shares Bitcoin, Global X 21Shares Ethereum, and Monochrome Bitcoin, which together hold about 90 million dollars.
Bloomberg ETF analyst Rebecca Sin predicts that the Asia-Pacific region has the greatest potential for digital asset ETFs, with an estimated value of more than $3 billion in the coming years.
This growth is expected to be split equally between Australia, Hong Kong, and South Korea, and eventually allow for the listing of cryptocurrencies.
VanEck’s Bitcoin ETF Holds Strong Amid Negative ETF Flow
The approval of cryptocurrency ETFs by regulators in the United States and Hong Kong earlier this year has led to a huge influx of investment funds. US Bitcoin ETFs, launched in January, have amassed a staggering $56 billion in assets so far, attracting huge interest from Wall Street investors.
Similarly, Hong Kong introduced six currencies in April, although it had a lower response than its American counterparts.
The latest data from Farside shows that Wednesday’s ETF flows in the US market were negative, with outflows reaching $152.4 million.
Fidelity experienced outflows of $83.1 million, while Greyscale’s Bitcoin Trust ETF (GBTC) recorded outflows of $62.3 million. VanEck’s Bitcoin ETF, on the other hand, had no recorded inflows or outflows but saw a positive inflow of $23.6 million in five days this month.
As of this writing, the largest cryptocurrency in the market continues to show a assembly phasemaintains a trading value of $64,895 with no significant changes seen during the last 24 hours. However, Bitcoin has shown negative performance in long-term frames, experiencing a decrease of 4% and almost 9% in the last seven and fourteen days, respectively.
It is worth noting that despite this recent decline, Bitcoin has achieved a staggering 141% year-to-date gains. In addition, Bitcoin has a market capitalization of $1.2 billion.
Featured image from DALL-E, chart from TradingView.com
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