The Australian Securities Exchange (ASX) is set to introduce its first exchange-traded fund that directly invests in Bitcoin (BTC) on June 20. The VanEck Bitcoin ETF will be the first of its kind to debut on Australia’s primary stock market.
This spot ETF will offer investors the opportunity to gain exposure to Bitcoin through a regulated, transparent, and well-established investment vehicle. Following the approval of the U.S.’s first spot Bitcoin ETF by the Securities and Exchange Commission (SEC) earlier this year, other regions have been eager to follow suit.
The launch of the VanEck Bitcoin ETF in Australia is expected to attract significant capital inflows from the country’s substantial pension fund market as investors look to diversify their portfolios with digital assets. Globally, the listing of Bitcoin ETFs is gaining momentum, with jurisdictions like Hong Kong and Australia expressing interest in adopting similar products.
In addition to the VanEck Bitcoin ETF, Sydney-based companies BetaShares Holdings Pty and DigitalX Ltd. are gearing up to list on the main Australian board after initial listings on CBOE Australia. Despite varying degrees of success with these early ventures, there is growing anticipation that the trend will gain momentum due to increased visibility and the recent surge in Bitcoin’s value.
The approval of the VanEck Bitcoin ETF aligns with proposed legislation from Australia’s ruling party aimed at regulating crypto custody, decentralized autonomous organizations (DAOs), crypto taxation, and licensing of digital asset service providers. This regulatory framework is expected to create a stable and clear environment that supports the continued growth of the cryptocurrency market in Australia.
In other news, the Australian Taxation Office (ATO) has launched a broad initiative to enhance tax compliance within the cryptocurrency sector. The ATO is requesting personal and transaction data from crypto exchanges to cover up to 1.2 million user accounts in an effort to combat potential tax evasion in the rapidly expanding cryptocurrency market.
The ATO is seeking to identify traders who may have underreported their crypto-related activities, such as converting digital assets into fiat currency or using them for transactions. The data being requested includes a wide range of personal details from users, as well as transaction specifics like bank accounts, wallet addresses, and details of the cryptocurrencies traded.
To address financial risks and prevent gambling-related issues, the Australian government has implemented a ban on the use of credit cards and cryptocurrencies for online betting. This measure, effective as of June 11, aims to discourage individuals from gambling with borrowed funds or using digital currencies, promoting responsible gambling practices nationwide.
As of the latest data from CoinGecko, Bitcoin (BTC) is currently trading at $66,177, reflecting a 4.6% decline on the weekly timeframe. This development highlights the volatility of the cryptocurrency market and the importance of regulatory measures to ensure investor protection and market stability.