The UK’s Financial Conduct Authority (FCA) has approved the listing of asset management company WisdomTree. Bitcoin and Ethereum exchangeElectronically traded products (ETPs) on the London Stock Exchange (LSE).
BREAKING NEWS: 🇬🇧 Financial Conduct Authority Approves #bitcoin ETP is listed on the London Stock Exchange.
Gradually and then suddenly🚀 pic.twitter.com/hMjN24qRMl
— Bitcoin Magazine (@BitcoinMagazine) May 22, 2024
FCA gives green light to WisdomTree’s physical Bitcoin ETP The firm, which has $111 billion in assets under management, will initially offer its products only to professional investors.
The move comes after the FCA announced in March that it would not object to the listing of a Bitcoin ETP aimed at professional investors, and follows the approval of a Bitcoin Spot ETF in the US and Canada. Hong Kong earlier this year.
WisdomTree claimed that it was one of the first companies to have a Bitcoin ETP prospectus approved by the traditionally Bitcoin-cautious FCA. This represents a change in the regulator’s stance after banning such products in 2020.
However, as major markets such as the US and Hong Kong move to regulate Bitcoin funds, the FCA has softened its stance. However, the ban will continue for individual investors.
The reversal reflects a steadily growing adoption of Bitcoin ETFs among traditional financial institutions as well, with recent SEC 13F filings revealing that major banks and financial giants have snapped up significant stakes in a U.S. spot Bitcoin ETF.
WisdomTree plans to charge an expense ratio of 0.35% for its LSE-listed Bitcoin ETP. The company already offers Bitcoin ETPs on exchanges in Europe, Bitcoin ETF In the United States.
Some believe the FCA’s approval removes regulatory uncertainty and barriers to Bitcoin for UK investors, potentially encouraging further adoption by institutional investors. UK regulators provide further validation that Bitcoin is here to stay by giving the green light to WisdomTree’s groundbreaking Bitcoin ETP.
