” . ContributorsContributor Monochrome’s bitcoin holdings surge past A$155m amid CBDC debate Published: 02:37 12 Jul 2025 AEST Monochrome Asset Management’s spot Bitcoin ETF recently surpassed A$155 million in holdings, now totalling 937 BTC under management as of early July. This growth arrives as the Reserve Bank of Australia continues to explore a state-issued digital dollar, prompting a much wider discussion on where decentralised assets like Bitcoin fit into the country’s financial future. While policymakers consider centralised currency regulations, investor behaviour is telling a very different story. This quiet accumulation of Bitcoin through compliant investment products is demonstrating a surge in long-term confidence from local institutions. Bitcoin Use Beyond Investment While ETFs are bringing Bitcoin into the portfolios of investors, usage of the currency outside capital markets is also expanding across the country. Australians are using the currency to pay for services such as VPN subscriptions, private web hosting, travel bookings, and select retail purchases. The global increase of crypto entertainment options like using international Bitcoin casinos in Australia, for instance, allows people to deposit, wager, and withdraw in Bitcoin, even Ethereum, and stablecoins like Tether. These services appeal to individuals who prefer faster transactions and less reliance on traditional financial institutions. Bitcoin offers both businesses and consumers a direct, decentralised payment method that can be used at any hour without waiting for clearance times or facing card rejections. Security and privacy also play a role, with many of these sites offering additional protection through two-factor authentication and wallet integration. While adoption is far from universal, the list of places that accept Bitcoin continues to grow. Its role as a real payment method, rather than just an investment, is gradually becoming more visible. Bitcoin Enters the Institutional Mainstream The Monochrome Bitcoin ETF, trading under the ticker IBTC, is gaining traction as one of the most transparent paths for institutional exposure to digital assets in the country. Its structure is pretty straightforward. Each unit is backed by actual Bitcoin, held securely in cold storage and managed under the oversight of a licensed custodian. What separates Monochrome from earlier attempts at crypto-linked investment vehicles is its alignment with regulatory standards. This is not speculative-driven by online trends or retail hype but rather seen as a methodical adoption of Bitcoin. Institutional investors are increasingly allocating to Bitcoin through ETFs because the format feels familiar. It fits within existing frameworks and reporting requirements. Monochrome’s growing holdings suggest that a section of the Australian market is no longer sitting on the sidelines. Quiet, regulated exposure is becoming a preferred route. The RBA’s Digital Dollar: Complement or Competition? As Bitcoin gains traction through regulated channels, the RBA has taken steps toward introducing a central bank digital currency. Known as the eAUD, this pilot project is designed to test whether a digital version of the Australian dollar could offer advantages across payments, finance, and government services. Some industry voices have raised the question of whether a digital dollar could replace the need for Bitcoin in Australia. Both serve a similar purpose, which is fast, digital transactions without having to rely on physical cash. These similarities, however, are only surface-level. The major difference here lies in control. A CBDC would remain under the authority of the central bank. Every transaction, every wallet, and every use case would operate within a framework governed by national policy and regulation. Bitcoin, on the other hand, operates independently. It is not tied to interest rate decisions or currency supply targets. For many users, this is its most valuable quality. There is also the question of inflation. An online version of the Australian dollar would still be subject to monetary policy. Bitcoin, by design, operates on a fixed supply schedule. That difference is unlikely to matter to every user, but for investors seeking alternatives to fiat-backed assets, it remains a key point of comparison. Monochrome’s Growth Sends a Clear Signal The success of Monochrome’s ETF shows changes in Australian finance. Institutions are no longer dismissing Bitcoin like before. They are finding ways to gain exposure that meet internal risk standards while satisfying regulators. The days of crypto being seen as an outsider’s asset are fading. ASIC and APRA have made it clear that digital assets fall within their remit, especially when offered to the public. This essentially led to additional scrutiny, but it has also created the conditions for regulated options like Monochrome. Investors can now easily buy into Bitcoin without relying on offshore exchanges or self-custody, two areas that have traditionally introduced risk. As Monochrome continues to grow, other financial firms are likely watching closely. Ethereum remains a possible contender for a similar product, though its path to regulatory approval may involve additional steps. For now, Bitcoin stands alone as the only digital asset with this kind of regulated access in the local market. The CBDC Question Remains Unanswered The RBA has taken a cautious approach to its digital dollar experiment. So far, the pilot has focused on commercial applications rather than retail use. Feedback from industry participants has been mixed, with many welcoming the idea in principle but unsure about its practical impact. No timeline has been confirmed for a full rollout, and public communication has remained deliberately measured. Australians already benefit from a highly efficient payment system. The NPP and PayID infrastructure allow instant transfers between most banks. This raises an important point: what exactly would a retail-facing CBDC improve upon? Until that question is answered, Bitcoin is unlikely to lose relevance. It continues to attract users who prefer a decentralised system and those who see it as a hedge against fiat currency risks. The presence of regulated options, like the Monochrome ETF, only strengthens that position. What Can We Expect? Australia’s finance sector looks to be entering a more mature phase. Monochrome’s ETF performance shows that there is a real demand for regulated exposure to decentralised assets, even as the RBA considers a government-backed alternative. Rather than competing directly, Bitcoin and a digital dollar could end up serving different roles. One offers an alternative store of value and decentralised control. The other, if introduced, would serve as a digital version of the currency Australians already use every day. For now, though, A$155 million in Bitcoin, held in a licensed, regulated fund, says more about market direction than any white paper or policy trial. While the future of the eAUD remains uncertain, Bitcoin’s role in the country seems to be much harder to ignore. Continue reading . ”
