Cosmos launches Ethereum ETF in Australia

Australian digital asset manager Cosmos Asset Management has partnered with Canada's Purpose Investments to launch an Ethereum exchange-traded fund for Australian investors.

The new Cosmos-Purpose Ethereum Access ETF, listed on Cboe Australia, invests directly in the Toronto-listed Purpose Ether ETF. The Canadian ETF holds physically settled Ether tokens rather than derivatives and is backed by cryptocurrency custodian Gemini.

The Toronto-listed vehicle has amassed over A$570 million ($408 million) in assets since its launch in April last year, according to Cboe Australia.

Cosmos AM chief executive Dan Annan said the new ETF “makes it easier for Australians to add Ethereum to their portfolio by eliminating the need for Ethereum wallets and cold storage, which are often the limiting factor for those interested in investing in cryptocurrencies.”

Cboe Australia boss Vic Jokovic said: “As investors continue to look for cryptocurrencies, it is important that the market offers them choice and access.” He added that the new ETF gives Australian investors “unique access to the world’s first physically settled Ether ETF.”

The launch comes shortly after Cosmos AM listed its Cosmos-Purpose Bitcoin Access ETF (CBTC) on May 12 with Purpose Investments on Cboe Australia. Last year, Cosmos AM also began trading its Cosmos Global Digital Miners Access ETF on the exchange.

ETF Securities and Switzerland-based 21Shares launched the ETFS 21Shares Ethereum ETF (EETH) and the ETFS 21Shares Bitcoin ETF (EBTC) on May 12, the same day Cosmos AM listed its Bitcoin vehicle.

Australia's first three crypto ETFs began trading after a two-week delay after an undisclosed third party reportedly blocked their listing at the last minute.

The launches coincided with a major cryptocurrency crash.

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