While the US watchdogs continue to reject BTC spot ETF applications, Australia has reportedly taken the Canadian route and will list its first-ever exchange-traded fund on the Cboe equities trading platform as early as next week.
The local report dated April 19 reads that Australia’s main equity capital market regulator – ASX Clear – has amassed four participants prepared to meet the stringent margin requirements needed to cover the settlement risks for BTC, known for its enhanced volatility.
Three of them come from an institutional standpoint, while the last is a “significant retail clearing participant willing to provide the 42% margin demanded by ASX Clear.”
The regulator’s chief risk officer – Hamish Treleaven – confirmed that the ASX now has “our minimum number of clearing participants, and that means we are good to go.”
The executive will notify the market participants tomorrow about the agency’s approval, which will give them a seven days notice to “prepare for the new product.”
Consequently, the Cosmos Asset Management bitcoin ETF will be able to start trading on the Cboe equities trading exchange on April 27.
According to the report, the Cosmos BTC ETF is a “fund of funds” as it invests in the Purpose Bitcoin ETF available for trading in Toronto, Canada. As reported last year, the Canadian authorities approved a few bitcoin ETFs, including the aforementioned one.
At the same time, the United States Securities and Exchange Commission keeps rejecting multiple applications per year and has only allowed two bitcoin futures ETFs to go live.