The Australian Securities and Investments Commission has clarified its position regarding Bitcoin (BTC)-linked exchange-traded funds.

According to a Feb. 12 report past the Australian Financial Review, the committee addressed the subject after previously rejecting a Bitcoin ETF initiative by local company Cosmos Capital.

Per the report, Cosmos CEO James Manning claimed that ASIC "accept a policy — which they have non released — which says they do not want an exchange traded product, an MIS, listed on an exchange."

However, ASIC commissioner Cathie Armour told the Senate select committee on financial technology Friday that a Bitcoin ETF is possible, so long as there are appropriate rules in identify in the market on which it is traded:

"For whatsoever products to be quoted on commutation markets in Australia, the detail marketplace needs to take in place rules that facilitate the quoting of products [...] Not all markets have rules in identify that practise that. [...] These products tin exist made available to Australians through a managed investment scheme regime and Australians tin can invest in these products in that fashion."

Armour said that a Bitcoin ETF could fall nether Australian Securities Substitution'southward AQUA Rules, which are specifically designed for investment schemes like managed funds, ETFs and other products.

Armour noted that the National Stock Exchange of Australia, on which Cosmos attempted to list its product, does not have such rules.

Australian Securities Exchange CEO Dominic Stevens said that the ASX has taken a cautious approach toward cryptocurrency-related products, but is considering them. "The world of bitcoin has inverse since the last run, and my gut feel is this dominated past more corporate activeness and institutions," he said.

Steve Vallas, head of the Blockchain Clan of Commonwealth of australia, told Cointelegraph that the shift in regulators' attitudes represents a major betoken for the crypto adoption in the country:

"The first pace towards the adoption [...] is open communication and a willingness by Government to discuss the opportunity, implications and risks associated with the listing of products like an ETF. The message being conveyed from ASIC is a very important signal to the sector and is welcome news for all involved in the sector."

Cosmos Upper-case letter is now reportedly planning to list its Bitcoin ETF on ASX, which could potentially become Australia's beginning ETF linked to Bitcoin. Cosmos did not immediately respond to Cointelegraph'due south asking for annotate.