The companies behind the Cosmos Purpose Ethereum Access ETF, the Cosmos Purpose Bitcoin Access ETF, and the Cosmos Global Digital Miners Access ETF have filed to revoke their listings on Cboe Australia, according to letters disclosed Nov. 2.
The decision to revoke the listings reflects the impact of the crypto winter on the demand for crypto assets, not the belief of management teams in the future of the space, according to reports. Each of the three funds has a net asset value of less than $1 million.
October 31st, Cosmos had requested that its Bitcoin and Ether ETFs be halted from trading. One Managed Investment Funds Limited has also separately requested the suspension of trading of the digital miners ETF.
Two of the funds were given the green light to trade in the country just in May, after gaining approval from regulators, as Cointelegraph reported. For the first Bitcoin ETF listing in Australia, Cosmos secured the minimum of four market participants to support the 42% margin requirements needed to cover risk. At the time, local brokers anticipated inflows of up to $1 billion for this asset class.
According to a recent CryptoCompare report, the average daily trading volume of institutional crypto products had fallen 34.1% to $61.3 million in October. Median daily average volumes for almost all products included in the report decreased -24.3% to -77.5% for the month.
October Bitcoin-based products saw weekly net flows averaging $8.37 million, while Bitcoin-based shorts saw the largest outflows, averaging $5.03 million, according to the report.
The price drop has an impact on other cryptocurrency exchange-traded funds. In October, Valkyrie Funds announced plans to close the Valkyrie Balance Sheet Opportunities ETF, a cryptocurrency investment product that offered indirect exposure to BTC.
The fund delisted from the Nasdaq Exchange on October 31, and remaining investors will receive a cash distribution equal to the net asset value of the shares held. Valkyrie said the decision was part of an ongoing product review as the firm aims to “better meet customer demand.”
Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Keep reading:
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the full amount invested may be lost. The services or products offered are not aimed at or accessible to investors in Spain.