In a letter to the Australian Securities and Investment Commission (ASIC), Bragg said that while he isn’t specifically against foreign competition, he favors the first crypto ETF to list in the country to be from a local source. A locally-sourced ETF was supposed to list last week, but hit a delay at the 11th hour.
Amid the delay, Canada-based 3iQ Digital Asset Management also filed applications for listing the 3iQ CoinShares Bitcoin Feeder ETF and 3iQ CoinShares Ether Feeder ETF on CBOE Australia.
Senator Andrew Bragg urges regulators to prioritize local ETFs
Australian Senator Andrew Bragg, who chaired the parliamentary inquiry to regulate crypto assets, urges the ASIC in a letter to prevent foreign firms to take benefit of the hold-up of local crypto ETFs, reported the Australian Financial Review on May 4.
Senator Andrew Bragg, in a letter to ASIC chairman Joseph Longo, wrote:
“It would be a very regrettable outcome if foreign exchange-traded funds with direct exposure to cryptocurrency were widely available before domestic products.”
Moreover, Senator Bragg explained that he is not against foreign competition in Australia. However, he is concerned about the dominance of foreign products over Australian products.
Local asset managers Cosmos Asset Management and ETF Securities, which were scheduled to list Bitcoin ETFs on April 27, were delayed due to prime brokers.
Crypto Economy Grows in Australia
Crypto adoption in Australia continues to grow as institutional and retail investors pour funds into crypto assets. Besides, many surveys have revealed the massive adoption rate in Australia.
Senator Andrew Bragg aims to make Australia a global financial and technology center, including a thriving market for digital assets. Moreover, an EY report had projected the crypto economy in Australia to grow from $2.1 billion to $68.4 billion by 2030.
“My strong view is that there are benefits to Australia and its people from adopting digital assets … But I do not want our regulator or quasi-monopoly market operator to undercut national policy.”