Welcome to this week’s edition of This Week in Crypto! In this issue, we delve into a series of exciting developments from around the globe. First, we head down under where the Australian Securities Exchange has approved its very first spot Bitcoin ETF. Across the Pacific, the U.S. is buzzing with anticipation as SEC Chairman Gary Gensler hints at the probable approval of spot Ethereum ETFs this summer. Lastly, we explore a major update from Shopify, which, through Helio’s enhanced Solana Pay plugin, now allows merchants to accept payments in hundreds of cryptocurrencies, further bridging the gap between e-commerce and digital currencies.
Australia’s Largest Stock Exchange Approves First Spot Bitcoin ETF
The Australian Securities Exchange (ASX), Australia’s largest stock exchange, has greenlit the VanEck Bitcoin ETF, marking the first spot Bitcoin exchange-traded fund (ETF) in the country, set to begin trading on June 20. This move by the ASX follows the earlier approval and launch of VanEck’s spot Bitcoin ETFs in the United States. Arian Neiron, VanEck’s CEO for the Asia-Pacific region, highlighted the ETF’s role in making Bitcoin investments easier and more accessible to investors who may favor more traditional routes.
This is not Australia’s first foray into Bitcoin ETFs, though. Before the ASX’s approval of the VanEck Bitcoin ETF, the Monochrome Bitcoin ETF began trading on June 4 on the Cboe Australia, the country’s second-largest exchange. Additionally, in April 2022, the Global X 21 Shares Bitcoin ETF was launched, becoming Australia’s first Bitcoin ETF product. Both of these funds have taken steps to adhere to stringent Australian custody regulatory standards by securing their digital assets offline, enhancing security in these emerging financial instruments.
Spot Ethereum ETFs Likely in U.S. by Summer, Says SEC Chairman
SEC Chairman Gary Gensler has indicated that spot Ethereum ETFs are expected to launch in the U.S. this summer, following the agency’s approval of 19b-4 applications from stock exchanges to list these products in late May. The approval of individual issuers’ S-1 registration forms is the final hurdle before these ETFs can go live. During a Senate hearing, Gensler noted that the registration process for these issuers is progressing smoothly and anticipates approvals to occur over the summer.
Despite the optimism surrounding the approval of spot Ethereum ETFs, which analysts from K33 Research predict could attract up to $4 billion in the first five months, Gensler remained non-committal on the classification of Ethereum as a security or commodity. This ongoing ambiguity persists even as legal experts suggest that Ethereum has been implicitly classified as a commodity through its approval as a single-asset ETF product.
Shopify Expands Crypto Payment Options with Updated Solana Pay Plugin
Helio has updated its payment system for Shopify, allowing many more merchants to accept payments in different types of cryptocurrencies. This upgrade makes it easier for stores to work with a wider range of digital coins, improve loyalty rewards, and blend smoothly with Shopify’s setup. Helio’s CEO, Stijn Paumen, mentioned that this blockchain technology enables very fast payments that go directly from the customer to the store without middlemen like banks. This reduces common problems for online stores, such as high fees and delayed payments. Since its launch, the Solana Pay plugin has helped over 200 stores handle about $50 million in transactions, saving them around $1 million in fees.
The plugin now also offers new features like NFT airdrops and special access for NFT owners, making it more appealing to Shopify users. It automatically changes cryptocurrencies to stablecoins, which are less prone to price swings, ensuring that merchants always receive payments in stable digital dollars or directly as cash in their bank accounts. With a low fee of just 0.75% per transaction, the system is designed to attract more stores that were hesitant to accept crypto payments. The system is set up to provide instant payments, avoid issues with payment disputes, and be available to customers globally. Looking forward, Helio is planning to add more features that allow customers to pay with different cryptocurrencies while still letting merchants receive payments in Solana.
