UK Lifts Four-Year Ban on Crypto ETNs for Retail Investors

The UK Financial Conduct Authority has reversed its 2021 prohibition on crypto exchange-traded notes, granting retail investors access to these products through approved exchanges. Crypto ETNs, which track digital assets without direct ownership, will now be available alongside traditional securities.

"Market evolution has brought both maturity and clarity to these instruments," said David Geale, the FCA's Executive Director of Payments and Digital Finance. The regulator maintains its ban on crypto derivatives while implementing safeguards for ETN investors.

Starting October 8, crypto ETNs will qualify for inclusion in pension schemes, with plans to expand into tax-advantaged ISAs by 2026. This regulatory shift reflects growing institutional acceptance of cryptocurrency investment vehicles.