Bitcoin and Ethereum ETPs are approved for listing on the London Stock Exchange – DiarioBitcoin
By Hannah Perez
Asset manager WisdomTree has been given the green light to launch the new ETPs, which are expected to debut on the London Stock Exchange on May 28.
***
- WisdomTree Received Approval to Launch Two Physically Backed Bitcoin and Ethereum ETPs
- The administrator claims to be the first to receive the green light for a prospectus of its kind in the United Kingdom
- The UK’s FCA opened to ETP trading this year in a favorable turnaround
Two new exchange-traded products (ETPs) physically backed by cryptocurrencies are landing in the UK.
WisdomTreea reputable asset manager, reported that it has obtained approval from the Financial Conduct Authority (FCA) to list two ETPs of Bitcoin and Ethereum on the London Stock Exchange (LSE).
In a press release this Wednesday, the company said that its products WisdomTree Physical Bitcoin and WisdomTree Physical Ethereum They will begin trading as early as May 28 and will be available only to professional investors.
The ETPs will be offered with a rate of 0.35%, one of the lowest for an institutional-level product of its type in Europe, the company said. WisdomTree He also said he was among the first applicants given permission for his prospectus.
“The FCA’s approval of the prospectus for our crypto ETPs is a significant step forward for the industry and UK-based professional investors seeking exposure to this asset class.“commented Alexis Marinof, European director of WisdomTree.
He added that the approval “could result in greater institutional adoption of the asset class as many professional investors have been unable to gain exposure to Bitcoin and other cryptocurrencies due to regulatory limitations and uncertainty; We would expect the FCA’s approval of the prospectus for our crypto ETPs to help remove those barriers to entry.”.
First cryptocurrency ETPs in the UK
The London Stock Exchange announced in March that it would begin accepting applications for the admission to trading of ETNs of Bitcoin and Ethereum From May. The statement came just after the FCA said, in a welcome change of stance, that it will not oppose applications for such products.
Cryptocurrency ETPs, a type of investment vehicle that tracks the performance of underlying assets —in this case digital assets—have been around for a long time in Europe, but had not been available in the UK.
The English regulator had banned such products but changed its approach after the approval of the first exchange-traded funds (ETFs) of Bitcoin in the U.S. The FCA still maintains the ban on retail investors.
WisdomTree, headquartered in New York with more than $100 billion in assets under management worldwide, became the first established ETP issuer to offer European investors exposure to institutional-grade cryptocurrencies. The company currently offers several physically backed cryptocurrency ETPs on exchanges in Switzerland, Germany, Paris and Amsterdam.
WisdomTree also has one of the ETFs Bitcoin spot trading in the US.
It is worth noting that an ETP are investment vehicles that are listed on a stock exchange. ETNs They are types of debt securities not guaranteed, unlike ETFs that do hold assets. Both are types of ETP.
Article by Hannah Estefanía Pérez / DailyBitcoin
Image from Unsplash
WARNING: This is an informative article. DiarioBitcoin is a media outlet, it does not promote, endorse or recommend any particular investment. It is worth noting that investments in cryptoassets are not regulated in some countries. They may not be suitable for retail investors as the entire amount invested could be lost. Check the laws of your country before investing.
