đź“° Lead
Retail investors in the United Kingdom can now purchase crypto exchange-traded notes (cETNs) after the Financial Conduct Authority’s August policy change took effect on 8 October 2025. In parallel, HM Treasury clarified the tax treatment of cETNs, including potential eligibility within registered pension schemes—signaling a coordinated effort to normalize regulated digital-asset exposure.
đź“Š Market Access & Platforms
The London Stock Exchange is preparing to host fresh cETN listings as major retail brokers implement appropriateness assessments and onboarding controls. Hargreaves Lansdown maintained a cautious stance—arguing crypto lacks “intrinsic value”—yet indicated it will allow limited client access where suitability is demonstrated. Several competitors are lining up launches as early as 13 October, suggesting a busy first wave if operational readiness holds.
🏛️ Regulatory Context
The shift arrives amid Europe’s broader evolution under MiCA. Supervisors continue to stress consistent risk warnings, robust custody standards, and transparent pricing. Fragmented interpretations across the bloc underline the need for aligned disclosures and surveillance—especially where products reference offshore venues or complex index methodologies.
đź’ˇ Why It Matters
Retail distribution via supervised venues narrows the gap with U.S. spot ETF access and could deepen liquidity across Europe. For platforms, the opportunity is incremental order flow from investors who prefer brokerage rails over crypto-native exchanges. For regulators, priorities include suitability filters, market-conduct controls, and well-tested incident-response pathways. Near-term markers: first-day LSE trading, broker capacity during volatility, and whether pension administrators admit cETNs without frictions.
Disclaimer:
This article is for informational purposes only and does not constitute financial or investment advice.
Source: Digital News & Investigative Reports (DNIR) — cnirbc.com
