- UK investors can now access regulated Bitcoin and Ethereum ETPs after the FCA lifted its four-year ban on retail crypto exchange-traded notes.
- 21Shares, Bitwise, WisdomTree, and BlackRock launched new or expanded Bitcoin and Ethereum ETPs on the London Stock Exchange with competitive fees.
- The move aligns the UK with global markets and forms part of the FCA’s broader crypto regulatory framework set to be implemented by 2026.
The Financial Conduct Authority (FCA) has ended its four-year ban on retail access to crypto exchange-traded notes, enabling UK investors to buy Bitcoin and Ethereum exchange-traded products (ETPs) from issuers including 21Shares, Bitwise, and WisdomTree.
The regulator’s decision reverses a 2021 policy that had prohibited retail participation in crypto derivatives and ETNs due to concerns over volatility and investor protection. Retail clients can now access these products through standard investment accounts and tax wrappers, marking a pivotal step in aligning the UK with international markets such as the US and Canada.
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Asset Managers Move Quickly
21Shares was among the first to capitalise on the change, introducing four ETPs on the London Stock Exchange (LSE): two physically backed Bitcoin and Ethereum products, and two lower-fee “Core” versions priced at 0.1%. Its Ethereum ETP also integrates staking rewards within a regulated investment framework. CEO Russell Barlow said the development was a “landmark step” for retail investors previously unable to access regulated crypto products.
WisdomTree launched its physically backed Bitcoin and Ethereum ETPs on the LSE with fees of 0.15% and 0.35%, extending availability beyond professional clients. According to Head of Europe Alexis Marinof, the LSE listing signals how far the digital asset market has advanced and highlights the value of investor transparency.
Bitwise expanded its presence with four ETPs divided evenly between Bitcoin and Ethereum, reducing the management fee of its Core Bitcoin product to 0.05% for six months. Head of Europe Bradley Duke said the listing enables access to Europe’s largest investment market.
Meanwhile, BlackRock launched its iShares Bitcoin ETP (IB1T) on the LSE, complementing existing listings on European exchanges including Euronext and Xetra. The firm highlighted that as UK crypto investors could approach four million by next year, such regulated products provide a safer avenue for exposure through conventional financial platforms.
The FCA’s broader digital asset roadmap includes forthcoming regulations covering stablecoins, trading, custody, and lending, expected to take effect by 2026.
Related: Japan May Let Banks Hold Bitcoin in Landmark Financial Reform
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