First ASX crypto ETF makes history on debut

• BetaShares Crypto Innovators (CRYP) hit trading records on its first day of trading today, barely a week after ASIC authorised crypto asset-related exchange-traded funds (ETFs)
• The CRYP ETF invests in publicly traded firms in the crypto sector, including exchanges, bitcoin miners, and infrastructure providers
• After opening at $11.23 per unit, CRYP saw more than $8 million change hands in less than 15 minutes
• The fund is the first foray for the ASX into the crypto market after ASIC gave the green light to crypto ETFs
• While CRYP is the first of its kind on Australia’s chief exchange, it follows the recent debut of competitive listings on ASX rival Chi-X

BetaShares Crypto Innovators (CRYP) has broken trading records on its debut today, just a week after the Australian Securities and Investments Commission (ASIC) approved crypto asset-related exchange-traded funds (ETFs).

The CRYP ETF invests in publicly traded firms in the crypto sector, including exchanges, bitcoin miners, and infrastructure providers. After opening at $11.23 per unit, CRYP saw more than $8 million change hands in less than 15 minutes. By midday, trading volumes had soared to $24.5 million.

The newly minted ETF finished the day at $11.19 per unit having climbed 11.19 per cent.

The fund is the first foray for the ASX into the crypto market. While the fund doesn’t directly invest in cryptocurrencies or digital assets, it invests in companies involved in those sectors, tracking the Bitwise Crypto Industry Innovators Index.

While CRYP is the first of its kind on Australia’s chief exchange, it follows the recent debut of competitive listings on ASX rival Chi-X.

CRYP’s index is intended to cover the complete range of the crypto ecosystem by offering exposure to pure-play crypto enterprises, companies with at least 75 per cent of their balance sheets invested in crypto-assets, and diversified corporations with crypto-focused business lines.

Cryptocurrency exchange platform Coinbase, bitcoin mining company Riot Blockchain, and business analytics provider Microstrategy are are among CRYP’s holdings.

Its largest holding is in Silvergate Capital, followed by Marathon Digital Holdings and Galaxy Digital, which together represent just over one-third of CRYP’s total portfolio.

The listing comes after a series of discussions since June. Last Friday, ASIC unveiled a set of rules and regulations pertaining to crypto exchange-traded products, or ETPs.

The new rules allow firms to form ETFs that invest directly in cryptocurrencies or in crypto-related assets, such as cryptocurrency miners and coin exchanges.

BetaShares said its portfolio has a year-to-date performance of nearly 133 per cent, with monthly performance of 28 per cent. In its information pack, however, the company said investment in CRYP should be considered “very high risk.”