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London is bracing for an influx of exchange-traded crypto products, generating excitement among large crypto ETF providers.
As London prepares to embrace a new era of exchange-traded products (ETPs), financial giants such as CoinShares, WisdomTree and ETC Group are eagerly seeking opportunities to list their offerings on the London Stock Exchange (LSE), according to the Financial Times. has learned.
The relaxation of regulations by the Financial Conduct Authority (FCA) indicates a notable change, however, criticism arises as the FCA still prohibits retail investors from accessing crypto ETPs on the LSE. While Bradley Duke, chief strategist at ETC Group, Europe's largest crypto fund, emphasized the willingness to introduce products to the exchange, he also expressed hope that the retail ban will be lifted in the near future.
“The LSE is such an important market for us that we will definitely release products when possible and preparation is underway. “We hope the retail ban will be lifted soon.” bradley duke
Other major European crypto players, such as VanEck, CoinShares, and WisdomTree, have also expressed interest in collaborating with the London Stock Exchange regarding new listing opportunities.
However, the FCA's limit to “professional investors only” has failed to attract all issuers active in the European crypto ETP market, which has a combined $14.2 billion, the report notes. For example, although Mandy Chiu, head of financial product development at 21Shares, commented positively on the approval of crypto ETPs on the LSE and called the move “encouraging,” she noted that the company would continue to “monitor” the situation and would not No I have no plans for any products listed in the UK at the time of this publication.
As previously reported by crypto.news, the London Stock Exchange plans to begin accepting applications for the admission of bitcoin (btc) and ethereum (eth) exchange-traded notes (ETNs) in the second quarter of 2024. However, the exchange emphasized that these offers will only be accessible to institutional entities such as investment companies, credit institutions, pension funds and insurance companies.
This decision contrasts with the trend seen in other countries, where individual investors have been granted access to such investment vehicles. However, the FCA's decision marks the end of its blanket ban on crypto ETPs, aligning it more closely with the regulatory frameworks of Europe, Australia, Brazil, Canada and the United States.
