Bitcoin ETFs under Active Consideration, Says ASIC Commissioner
- Armour sought to change the ASIC’s reputation for being stuck in the mud when it comes to Bitcoin-linked products.
ASIC commissioner Cathie Armour on Friday said the Australian Securities and Investment Commission is open to the idea of facilitating the listing of crypto versions of exchange-traded funds.
Armour has seemingly sought to change ASIC’s reputation for being stuck in the mud when it comes to Bitcoin-linked products. Specifically, his comments came shortly after the National Stock Exchange rejected the listing of Cosmos Bitcoin ETF, citing they did not have appropriate regulations to protect the investors.
“For any products to be quoted on exchange markets in Australia, the particular market needs to have in place rules that facilitate the quoting of products [...] Not all markets have rules in place that do that. [...] These products can be made available to Australians through a managed investment scheme regime, and Australians can invest in these products in that way,” said the corporate regulator chair.
Armour added that although an ETF would give investors a cheap and easy way to get exposure to crypto assets, there must be appropriate rules in place to protect them.
Australia crypto industry has been attempting to launch a bitcoin ETF for years, and Cosmos was the last to have its proposal rejected. But now, with bitcoin's surge to new highs, driven in part by increased adoption from institutions, the chance of approval could be higher than ever.
Australia Has Been Progressive in Crypto Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term
Still, there are hurdles for an Aussie bitcoin ETF approval as it seeks acceptance from ASIC, and it is likely to hinge on Cosmos’ success to list on ASX Exchange, which has never approved any similar products.
“ASIC has a policy – which they have not released – which says they do not want an exchange-traded product, an MIS, listed on an exchange,” said James Manning, one of the founders of Cosmos Capital.
ASX CEO Dominic Stevens told The Australian Financial Review this week that: “The world of bitcoin has changed since the last run, and my gut feel is this is dominated by more corporate activity and institutions.”
Australia was a pioneer in crypto regulation when it declared in 2018 that Bitcoin and Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term that shared its characteristics were legal and have been treated as property.
Additionally, the boom in crypto activity has prompted the Australian tax office to ask the nation’s cryptocurrency users to report their operations in order to verify tax compliance.
Thousands of Australian taxpayers across the country have already received instructions on how to accurately report their cryptocurrency-related income and amend their tax returns, if necessary.
ASIC commissioner Cathie Armour on Friday said the Australian Securities and Investment Commission is open to the idea of facilitating the listing of crypto versions of exchange-traded funds.
Armour has seemingly sought to change ASIC’s reputation for being stuck in the mud when it comes to Bitcoin-linked products. Specifically, his comments came shortly after the National Stock Exchange rejected the listing of Cosmos Bitcoin ETF, citing they did not have appropriate regulations to protect the investors.
“For any products to be quoted on exchange markets in Australia, the particular market needs to have in place rules that facilitate the quoting of products [...] Not all markets have rules in place that do that. [...] These products can be made available to Australians through a managed investment scheme regime, and Australians can invest in these products in that way,” said the corporate regulator chair.
Armour added that although an ETF would give investors a cheap and easy way to get exposure to crypto assets, there must be appropriate rules in place to protect them.
Australia crypto industry has been attempting to launch a bitcoin ETF for years, and Cosmos was the last to have its proposal rejected. But now, with bitcoin's surge to new highs, driven in part by increased adoption from institutions, the chance of approval could be higher than ever.
Australia Has Been Progressive in Crypto Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term
Still, there are hurdles for an Aussie bitcoin ETF approval as it seeks acceptance from ASIC, and it is likely to hinge on Cosmos’ success to list on ASX Exchange, which has never approved any similar products.
“ASIC has a policy – which they have not released – which says they do not want an exchange-traded product, an MIS, listed on an exchange,” said James Manning, one of the founders of Cosmos Capital.
ASX CEO Dominic Stevens told The Australian Financial Review this week that: “The world of bitcoin has changed since the last run, and my gut feel is this is dominated by more corporate activity and institutions.”
Australia was a pioneer in crypto regulation when it declared in 2018 that Bitcoin and Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term that shared its characteristics were legal and have been treated as property.
Additionally, the boom in crypto activity has prompted the Australian tax office to ask the nation’s cryptocurrency users to report their operations in order to verify tax compliance.
Thousands of Australian taxpayers across the country have already received instructions on how to accurately report their cryptocurrency-related income and amend their tax returns, if necessary.