Cryptocurrency Milestone: Bitcoin and Ethereum ETFs to Begin Trading in the UK
In a groundbreaking move, the UK is set to join the ranks of major financial centers offering cryptocurrency investment products. The Financial Conduct Authority (FCA) has approved the first cryptocurrency Exchange Traded Products (ETPs), paving the way for Bitcoin and Ethereum ETFs to start trading on the London Stock Exchange as early as May 28.
Leading the charge, WisdomTree Inc., a prominent asset management firm, announced its FCA approval to list Bitcoin and Ethereum ETPs. Invesco Digital Markets has also received the green light for its Bitcoin ETP, with trading anticipated to begin on the same day.
Several other issuers, including ETC Group, 21Shares, and CoinShares, are in the process of seeking approval to list their crypto products in the UK. The FCA’s website already lists approved products from WisdomTree, 21Shares, and Invesco Digital Markets Plc as of the 12pm deadline on Wednesday.
These ETPs, which will directly hold Bitcoin or Ethereum, will be available exclusively to professional investors, reflecting the FCA's cautious approach compared to the US. In the US, a new wave of Bitcoin ETFs approved in January now manages a substantial $59 billion.
This pivotal development marks a significant step forward for the UK's digital asset market, aligning it more closely with global financial hubs.
