London is gearing up for the introduction of crypto exchange-traded products (ETPs), with major players in the cryptocurrency industry like CoinShares, WisdomTree, and ETC Group looking to list their offerings on the London Stock Exchange (LSE). The Financial Conduct Authority (FCA) has relaxed regulations, paving the way for this new development.

While the FCA’s move signals a shift in the market, retail investors are still unable to access crypto ETPs on the LSE. Despite this restriction, Bradley Duke, chief strategist of ETC Group, remains optimistic about the future. He emphasized the importance of the LSE market for their products and expressed hope for the retail ban to be lifted soon.

Other major European players like VanEck, CoinShares, and WisdomTree have also shown interest in exploring listing opportunities on the London Stock Exchange.

The European crypto ETP market currently stands at a combined value of $14.2 billion. However, the FCA’s restriction to “professional investors only” has not attracted all issuers in the market. Mandy Chiu, head of financial product development at 21Shares, welcomed the approval of crypto ETPs on the LSE but mentioned that the firm would continue to monitor the situation and had no immediate plans for U.K.-listed products.

As reported earlier, the London Stock Exchange is set to accept applications for Bitcoin (BTC) and Ethereum (ETH) crypto exchange-traded notes (ETNs) in Q2, 2024. These offerings will be limited to institutional entities such as investment firms, credit institutions, pension funds, and insurance companies.

While individual investors in other countries have been granted access to such investment vehicles, the FCA’s decision aligns the U.K. more closely with regulatory frameworks in Europe, Australia, Brazil, Canada, and the U.S.

For more updates and news on the cryptocurrency market, stay tuned to Global Crypto News.

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