- Australia’s first crypto tracking exchange traded funds (ETF) met a subdued reception upon its launch on Thursday
- Some market experts are predicting crypto to stabilise this week after last weeks bloodbath, which saw the market haemorrhage nearly half its value, plummeting from US$2.8 trillion to US$1.5 trillion in a matter of days
- Bitcoin held mostly steady over the weekend and is currently priced at US$29,666
Australia’s first crypto tracking exchange traded funds (ETF) met a subdued reception upon its launch on 12 May 2022.
The ETFs, called 21Shares Bitcoin ETF and the ETFS 21Shares Ethereum ETF, debuted on the Cboe security and derivatives exchange – a rival to the Australian Securities Exchange (ASX).
The ETFs - two that track the price of bitcoin and a third that tracks ethereum – hoped to attract investors, touted as bringing cryptocurrency to the masses, but only managed to garner less than AU$1 million each from investors.
Much of the reason for the ETFs poor debut has to do with the current state of the market, which has been undergoing a mass correction in recent weeks.
In the past month, flagship currency, Bitcoin, has seen a decline of 20 percent, adding to around a sixty percent drop since November 2021 where it reached an all time high.
Ethereum, the second largest crypto by market capitalisation, is also down around 40 per cent so far this year.
While the launch of the ETFs has been underwhelming so far, they will be soon followed by the launch of more crypto-tracking ETFs, with BetaShares and VanEck planning to launch their crypto ETFs on the ASX in the coming weeks.
Meanwhile, some market experts are predicting crypto to stabilise this week after last weeks bloodbath, which saw the market haemorrhage nearly half its value, plummeting from US$2.8 trillion to US$1.5 trillion in a matter of days.
Heavily contributing to the brutal collapse was the crash of stablecoin TerraUSD and its sister token Luna.
Luna is now valued at virtually zero after being valued at US$116 in April.
Bitcoin held mostly steady over the weekend and is currently priced at US$29,666.
Meanwhile, Ethereum also held steady and is valued at US$2,026.
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Note: Growth figures are taken from the top 100 tokens by market capitalisation from the 24 hours prior to 12:30pm AEST
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