Cosmos is looking to delist multiple Bitcoin, and Ether exchange-traded funds (ETFs) as the damaging effects of the Crypto Winter persist.
Amidst the effects of the cold hands of the Winter, the team behind several crypto-focused Cosmos ETFs in Australia has applied to delist some of its funds, citing unpropitious market conditions.
The ETFs submitted by Cosmos Asset Management for delisting include:
- Cosmos Purpose Ethereum Access ETF
- Cosmos Purpose Bitcoin Access ETF
- Cosmos Global Digital Miners Access ETF
This is according to a Bloomberg report.
The difficult decision from the digital asset-focused investment manager was fueled by the disappointing results of its Bitcoin and Ether funds, as caused by the prevailing Crypto Winter that has battered several crypto assets to shocking lows.
The decline in cryptocurrency prices across the market has dampened the interest of investors in the asset class, leading to a shortage of investors. A surge previously influenced Cosmos’ decision to list these funds in investor interest.
“While we strongly believe in the asset class, we are all disappointed with this result, however, we will continue to follow the process in the best interest of all unit holders,” says Dan Annan, CEO of Cosmos.
Recall that Cosmos Asset Management and fellow Australian asset manager ETF Securities was one of the first companies to debut spot cryptocurrency ETFs in Australia on the Cboe Australia exchange in May. These listings, unfortunately, coincided with the Terra debacle, which pumped a wave of FUD into the cryptocurrency space shortly after.
Cosmos’s BTC and ETH ETFs have direct investments in Purpose Investments’ funds listed in Toronto. Assets on these ETFs total A$1.1M ($710,000) as of press time, with Cosmos’ miners, fund having funds with a total value of A$630,000 ($405,000).
Cosmos’ launch of the Bitcoin and Ethereum ETFs in May followed the asset manager’s launch of its Cosmos Global Digital Miners Access ETF (DIGA) last year, which began trading on the Australian exchange Chi-X in October of last year.
Meanwhile, Australian investors still interested in investing in Bitcoin and Ether funds can focus their investments on the BTC and ETH funds from Global X, which remain available in Australia, among others. These funds have assets with a cumulative value of A$8.5M.
While Australia has welcomed several crypto spot ETFs recently, the U.S. has not been as favorably receptive due to the U.S. SEC’s pattern of rejecting BTC spot ETF applications. Nevertheless, 83% of crypto-focused funds remain domiciled in the American markets, per data from Bloomberg Intelligence. Europe only sees 16% of these funds.