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First crypto ETFs launch on Cboe Australia

Finally, after several years of regulatory negotiation, ETF Securities and Cosmos Asset Management have launched cryptocurrency ETFs on Cboe Australia.

In a statement, Cboe said ETFs are the first to offer Australian investors with direct, regulated exposure to the world's largest digital tokens by market capitalisation, Bitcoin and Ethereum.

ETF Securities launched Australia's first cryptocurrency-backed ETFs on Cboe Australia to provide local investors with simple access to the growing appeal of cryptocurrency.

One in five Australians currently own cryptocurrency according to a 2021 Swyftx survey, but the development of EBTC and EETH could amplify adoption rates.

The new ETF products could attract new investors via their offering of a more familiar investing experience. In turn, this could mitigate many of the uncertainties associated with cryptocurrency investing.

Cboe Australia chief executive Vic Jokovic said: "EBTC and EETH are breakthrough products that will pave the way for more Australians to expose their portfolios to cryptocurrency in a regulated Manner."

"As a part of Cboe Global Markets, Cboe Australia will continue to leverage our parent's global expertise and technological capabilities to enhance the Australian market."

ETF Securities chair Graham Tuckwell added that today is an exciting day for his team as EBTC and EETH were true firsts for Australia.

Tuckwell said: "The market capitalisation and trading volumes for these two leading cryptocurrencies are now larger than any company listed on the Australian stock exchanges, yet investors have not been able to gain access to them in a regulated manner."

"By offering this access through an ETF, investors can now gain portfolio exposure to these cryptocurrencies in an institutional-type way."

Cboe Australia has also expanded its investor access to bitcoin with the debut of Cosmos Asset Management's purpose bitcoin access ETF (CBTC).

CBTC invests directly in the purpose bitcoin ETF which has amassed $1.7 billion in assets under management since its launch in 2021.

Cosmos Asset Management chief executive Dan Annan said the fund would provide investors with Bitcoin exposure in a familiar manner.

"This gives investors a secure and easy way to introduce cryptocurrency to their asset allocation mix using the same tried-and-tested process they are already well acquainted with, and in a liquid and well-regulated market," Annan said.

"Bringing CBTC to market is a significant milestone for cryptocurrency in Australia and a critical moment for the growing number of investor's interested in cryptocurrency."

EBTC, EETH and CBTC have commenced trading on Cboe Australia on 12 May 2022 and are available through Cboe market participants and supporting Australian stockbrokers.

Read more: Cboe AustraliaBitcoinCosmos Asset ManagementETF SecuritiesAustraliansCboe Global MarketsDan AnnanGraham TuckwellEthereumSwyftxVic Jokovic