FCA is considering admission of crypto-ETNS for British private investors

Private investors in Great Britain could soon be given access to stock market-traded crypto bonds (ETNS) because the Financial Conduct Authority's financial regulator is considering a three-year ban.

The possible Change of the Politics would enable individuals – and not just institutions – to invest in crypto -based ETNs that are listed on approved British stock exchanges.

This consideration is part of the recent consultation of the FCA, which aims to strengthen the competitiveness of the market and reduce regulatory stress. While private investors have been excluded from these products for a long time due to concerns regarding the risk, the supervisory authority now seems to be more willing to have individuals decided themselves – provided there are corresponding safety precautions.

In contrast to spot ETFs, ETNs do not keep any cryptocurrencies directly. Instead, it is an undecided debt title that are bound to the performance of assets. The United Kingdom would equate its extension to the private customer market with countries such as the USA and the EU, where such products are already easier to access.

Bivu that, General Manager of Kraken UK, described the proposal as a turning point and argued that the market was matured and that flatbold restrictions were no longer necessary. Kraken, one of the largest FCA registered platforms, believes that broader access must be accompanied by a solid information from investors and clear disclosure obligations.

Although crypto-etns were already admitted to institutional trade in Great Britain at the beginning of this year, they found only limited acceptance. A broader availability could change this. However, the FCA emphasized that their ban remains from derivatives for private customers and that all new regulations will go hand in hand with strict standards for financial advertising to ensure consumer protection.

Comprehensive legislation on stablecoins, stacking and custody is still in development and is to be fully implemented by 2026. Although no appointment for a final decision has been mentioned, the recent step of the FCA signals a growing openness to integrate cryptocurrencies into the mainstream investment landscape.

With over 8 years of experience in the crypto and blockchain industry, Alexander is an experienced content manufacturer and market analyst who is committed to making digital assets more accessible and understandable. He specializes in breaking up complex crypto trends, analyzing market movements and creating revealing content that appeals to both newcomers and experienced investors. Alexander has developed a call for timely and precise analyzes and keeps regulatory developments, new technologies and macroeconomic trends in view that shape the future of the digital financial world. His work is characterized by a passion for innovation and is based on the firm conviction that width can be clarified the key to accelerated global crypto adoption.