Australia Launches First ETF Directly Holding Ethereum
15 Oct, 2024 ● Coin news
Monochrome Asset Management has launched Australia's first exchange-traded fund (ETF) that directly holds Ethereum, with assets under management reaching $176,600.
On Oct. 15, the Monochrome Ethereum ETF (IETH) began trading on the Sydney-based Cboe Australia exchange, with total net assets hitting $176,600 (262,500 Australian dollars) by 2:00 pm local time, as reported by Cboe Australia.
The ETF, which has a management fee of 0.50%, allows both in-kind applications and redemptions, enabling transactions to be conducted in either cash or Ether.
It is the only dual-access spot Ether ETF available in Australia. BitGo and Gemini serve as the crypto custodians for the ETF, while State Street Australia acts as the fund administrator.
IETH’s launch follows Monochrome’s earlier introduction of the Monochrome Bitcoin ETF (IBTC) in June, which has grown to nearly $10.7 million (16 million Australian dollars) in assets, according to the firm.
Monochrome Asset Management CEO Jeff Yew told Cointelegraph last month that much of the growth in their Bitcoin ETF stemmed from clients transferring crypto from exchanges into the fund.
“Now more and more crypto that had been previously held on exchanges is now being funneled into a regular structure like an ETF,” Yew explained at the time.
Yew expressed confidence that spot crypto ETFs would do well in Australia’s market, noting that the country is "on a very different trajectory with ETFs [...] with a bigger pie to carve out," he said.
VanEck also launched a BTC ETF in June, which currently has around $35 million (52 million Australian dollars) in net assets.
The U.S. remains the leader in the crypto ETF space, with 11 spot Bitcoin funds trading in the country, collectively accumulating $19.3 billion in assets under management so far this year.
Oct. 14 has been a strong day for ETF inflows, with the funds seeing a combined net inflow of $556 million, according to preliminary data from Farside Investors.
Sources:
https://cointelegraph.com/news/australia-first-etf-directly-hold-ether-launches
https://www.cboe.com/au/equities/products/funds/fund/IETH/
https://x.com/MonochromeAsset/status/1845960982201520584
