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Listing of Bitcoin and Ether ETPs on the London Stock Exchange approved
Listing of Bitcoin and Ether ETPs on the London Stock Exchange approved
The UK’s Financial Conduct Authority (FCA) has pioneered the first-ever listing of cryptocurrency exchange-traded products (ETPs) on the London Stock Exchange (LSE). This decision marks a significant change in the regulator’s position, reversing the previous ban on such offerings implemented in 2020.
Leading the charge are asset managers WisdomTree and 21Shares, both of which have secured FCA approval for their prospectuses to list physically backed Bitcoin and Ethereum ETPs on the LSE. Invesco has also been given the green light, although the details of their offer remain under wraps.
The listings, which are due to begin trading on May 28, will initially be limited to professional investors only, as the FCA maintains a ban on retail access to these products for now.
Alexis Marinof, head of Europe at WisdomTree, hailed the FCA approval as “a significant step forward for the sector and for UK-based professional investors seeking exposure to the asset class”. He expressed optimism that the move could catalyze greater institutional adoption, as many UK-based companies have faced hurdles in gaining exposure to cryptocurrencies due to regulatory uncertainty.
WisdomTree’s Bitcoin and Ethereum ETPs will have a competitive management expense ratio of 0.35%, placing them among the most affordable institutional-grade cryptocurrency ETPs in Europe.