UK Proposes Retail Access to Crypto ETNs in Regulatory Shift
The Financial Conduct Authority has unveiled plans to allow retail investors access to cryptocurrency exchange-traded notes, marking a significant policy reversal. Only ETNs listed on recognized investment exchanges will qualify under the new framework.
This move positions the UK to compete with major global crypto markets while maintaining consumer protections. The regulator emphasized robust risk disclosure requirements, treating crypto ETNs similarly to other high-risk financial instruments.
The proposal excludes crypto derivatives, which remain prohibited. Market participants anticipate this development could accelerate institutional adoption of digital assets in the UK market.