Sydney-based fund manager, Holon, was this month ordered to halt marketing for its bitcoin fund. ASIC imposed a stop order on the Holon Bitcoin Fund and two crypto funds from Holon, citing non-compliant target market determinations.
It appears from ASIC’s statement that target markets have been defined too broadly. The specified market includes customers “intending to use the fund as a solution/standalone component (75-100%) of their investment portfolio”.
If ASIC concerns are addressed in time, final stop orders on the funds may be avoided. Holon advertised that their bitcoin fund would use a third-party for custody of its assets. Further, that this would obviate the need for customers to secure their own assets.
Many bitcoiners, such as @arman_the, prefer a self-custody strategy. Numerous helpful guides are available including these by the same or these from @SparrowWallet.