The Australian Securities and Investment Commission has clarified its position on the Bitcoin Exchange Traded Fund (BTC).
According to the February 12th Australian Financial Review report, the committee addressed the matter after it previously rejected the Bitcoin ETF initiative from local Cosmos Capital.
According to the report, Cosmos CEO James Manning said that ASICs “have a policy they have not yet published stating that they do not want the publicly traded product, MIS, to be listed on a stock exchange.”
However, ASIC Commissioner Katie Armor told the Senate-elected Fintech Committee Friday that Bitcoin ETFs are feasible, provided the market they trade in has adequate rules:
“In order for any product to be listed on the Australian stock exchanges, the designated market must have rules in place to facilitate listing of the products […] Not all markets have rules that do so. […] These products can be provided to Australians through an investment system. Managed, and Australians can invest in these products this way. ”
Armor said that Bitcoin ETFs may be subject to AQUA regulations for the Australian Stock Exchange, which are specifically designed for investment plans such as managed funds, ETFs, and other products.
Armor notes that there are no such rules on the Australian National Stock Exchange that Cosmos has attempted to list its product.
Australian CEO Dominic Stevens has said ASX is warning about cryptocurrency-related products, but is considering them. “The Bitcoin world has changed since the last launch, and I feel that it is dominated by the activities of companies and institutions,” he said.
Steve Wallace, president of the Australian Blockchain Association, told Cointelegraph that the shifting attitude towards regulators is an important signal for the adoption of cryptocurrency in the country:
“The first step towards adoption […] is open communication and the government’s willingness to discuss the possibilities, implications and risks of listing products such as ETFs. The letter from ASIC is a very important signal for the sector and welcome news for everyone involved in the sector.”
It is reported that Cosmos Capital is now planning to list the Bitcoin ETF on the ASX, which will likely be the first ETF in Australia to be linked to Bitcoin. Cosmos did not immediately respond to Cointelegraph’s request for comment.