May 28, 2024 8:51 AM | 2 min read
Bitcoin (CRYPTO: BTC) exchange-traded products (ETPs) have commenced trading on the London Stock Exchange, marking a significant milestone for cryptocurrency adoption in the U.K.
What Happened: The first bitcoin exchange-traded products (ETPs) have started trading on the London Stock Exchange after receiving approval from the UK’s Financial Conduct Authority, Bitcoin Magazine reported on Tuesday.
Asset managers WisdomTree and 21Shares both listed bitcoin ETPs on the LSE today. Last week, the FCA granted approval for Bitcoin ETNs to be listed, paving the way for today’s launch.
21Shares introduced two Bitcoin products: the 21Shares Bitcoin ETN (ABTC) and 21Shares Bitcoin Core ETN (CBTC). Meanwhile, WisdomTree launched its Physical Bitcoin ETN (BTCW). All these ETNs offer exposure to Bitcoin’s price.
Currently, these ETNs are accessible only to professional investors under FCA regulations.
“But the game-changer in the U.K. will be when the retail ban is lifted; there is a retail ban on trading bitcoin and ether ETNs at the moment,” said Alex Pollak, head of U.K. for 21Shares.
Today’s launch marks a significant step for Bitcoin adoption and London’s ambitions to be a digital asset hub. Other major financial centers like the US, Europe, and Hong Kong already offer regulated bitcoin funds, pushing the FCA to keep pace.
21Shares co-founder Ophelia Snyder highlighted, “The U.K. is one of the deepest, most liquid capital markets in the world.”
The FCA is adopting a phased approach to market opening, allowing professional investors to gain regulated exposure to crypto assets on the LSE for the first time.
Why It Matters: The introduction of bitcoin ETPs on the LSE is a significant step in the mainstreaming of cryptocurrencies. Analysts have hailed Bitcoin ETFs as some of the most successful launches in history. This sentiment underscores the growing investor appetite for regulated crypto investment vehicles.
Earlier, the LSE made a strategic $3 trillion bet on the future of Bitcoin and Ether, highlighting the exchange’s commitment to integrating digital currencies into its operations.
Price Action: At the time of writing this article, Bitcoin was trading 1.32% lower at $68,525.57, according to Benzinga Pro.
Read Next: Donald Trump: ‘I Will Ensure That The Future Of Crypto And Bitcoin Will Be Made In The USA’
Photo via Shutterstock
This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
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