UNITED KINGDOM FIRST BITCOIN AND ETHEREUM EXCHANGE TRADED PRODUCTS ETP BEGINS TRADING OPERATIONS 29th of May, 2024
The Financial Conduct Authority (FCA) on the 24th of May, 2024 approved the first United Kingdom (U.K) Bitcoin and Ethereum Exchange Traded Products (ETP) which began operation on the 28th of May, 2024 (Tuesday) in the London Stock Exchange (LSE).
The Exchange Traded Notes (ETNS) are provided by two main establishment namely - Wisdomtree and 21shares on the LSE. ETNs are a type of ETP and are distinct from exchange-traded funds (ETFs) in that ETNs are debt-carrying vehicles tracking an index. They are also not backed by underlying assets. WisdomTree have two products namely: WisdomTree Physical Bitcoin (BTCW) and WisdomTree Physical Ethereum (ETHW). This products are 100% backed ETPs. Whereas 21Shares products are : 21shares Bitcoin ETN , 21shares Ethereum Staking ETN, 21Shares Bitcoin Core ETN and 21shares Ethereum Core Staking ETN respectively.
However, at the time of listing, these ETPs will only be available to professional investors. The listings come in response to a new regulatory environment in the UK. A recent news revealed that the Financial Conduct Authority will now allow professional investors to access Bitcoin and Ethereum-backed ETN.