South African company, Sygnia, plans to list a new crypto ETF and is all set for a JSE application.
Since the incidents of prevalent scam bitcoins back in 2020, crypto activities have been at an all-time low in South Africa. Investors and traders have heavily withdrawn from digital currencies. This is coupled with anti-crypto regulations set up to diminish the South African crypto community further. However, local companies are adopting exchange-traded funds (ETFs) to rallying citizens back into the path of cryptocurrencies.
Major Updates
- Sygnia to apply for a crypto ETF listing.
- Sygnia stays hopeful of approval due to global crypto adoptions.
- JSE reveals “certain conditions” to be met before ETF approval.
This crypto ETF to be launched will be a second of its making as South African company DCX Capital had already announced their launch.
Partnering up with Easy Equities, EC10, run by DCX Capital, hosts the country’s first-ever Bitcoin ETF. Now, Sygnia plans on doing the same, following a previous failed attempt.
The company is planning, for the second time, an ETF listing JSE application —Johannesburg Stock Exchange. The first application for a crypto ETF by the company was made but was unfortunately rejected back in 2017. The reason being the body was not accepting crypto listing applications at the time.
Fortunately for Sygnia, things have changed over the years. Crypto adoptions are going full-on mainstream worldwide; thus, they have a better chance at approval on their application.
The CEO of Sygnia, David Hufton, further reveals that the framework of the previously crafted crypto ETF can and will be reused. This time, they have their fingers crossed.
The company believes in the need to further digitized methodologies. As these are new and improved ways of life. They presented an illustration as follows, showing the shift of global markets trends and shifts to more technological and digital services providers;
Conclusion
Furthermore, no date has been issued for the potential application, they have announced that they will be filing their application “any day now.”
However, JSE director, Andre Visser says crypto applications for an ETF listing will only be approved only after “certain conditions” are met. Furthermore, they would also need to interact with other regulatory bodies —this includes both local and international firms.
Question of the Day
Do you think South Africa will have their very own crypto ETF any time soon?
