Crypto Market Rout Forces Delisting of Australian ETFs Launched Only This Year
Three crypto ETFs in Australia will be delisted due to the market downturn.
Australia's first crypto ETFs only launched in May of this year.
Inflation has hit a 32-year high, sending investors flocking to the digital asset sector.
"Flocking to the digital asset sector" must obviously exclude these ETFs.
This is what happens in TradFi: crap funds just close down. Thing is, ETFs are cheap to run because there is precious little actual management involved in the funds; they are essentially just trackers.
I would never set up a fund in that way; you need some income stream to accumulate capital during both the good and lean times. This would mean that any bounce back would then be greater than the underlying assets. Oh well, never mind.
Here is an interesting issue regarding the differences between spot and futures crypto ETFs: A Year After Debut, ProShares Bitcoin ETF Has Underperformed Market by 1.8%. Again, without balancing the capital exposure with some income yield, the fees involved make underperformance the norm.
Futures exist and regulated, hence Futures-ETFs can exist.
Maybe the listing fees were too high - dunno.