London Stock Exchange to Accept Bitcoin and Ether ETN Applications

The Financial Conduct Authority approves crypto-backed ETNs for professional investors, maintaining a ban for retail consumers.

The London Stock Exchange will start accepting applications for bitcoin and ether exchange-traded notes (ETNs) in the second quarter of 2024.
The Financial Conduct Authority (FCA) has approved the launch of crypto-backed ETNs for professional investors, maintaining a ban on such products for retail consumers.
Crypto ETNs must be physically backed and primarily held in cold storage, with issuers required to secure regulated custodians and obtain third-party audit reports.
The FCA emphasizes that crypto assets are high risk and largely unregulated, advising investors to be prepared to lose all their money.
The move follows the SEC's approval of physically backed bitcoin ETFs in the US, with expectations for a ruling on ether ETFs in May.