WisdomTree Receives Approval to List Cryptocurrency ETPs on London Stock Exchange
WisdomTree has received approval from the Financial Conduct Authority (FCA) to list its cryptocurrency exchange-traded products (ETPs), WisdomTree Physical Bitcoin (BTCW) and WisdomTree Physical Ethereum (ETHW), on the London Stock Exchange (LSE).
Exclusive Offering for Professional Investors
According to a recent press release from WisdomTree, its 100% physically backed Bitcoin and Ethereum ETPs are expected to be listed on Tuesday, May 28, 2024. These products will be exclusively available to professional investors.
WisdomTree’s Physical Bitcoin and Ethereum ETPs come with a 0.35% management expense ratio and are already listed on major European exchanges such as Deutsche Börse Xetra, the Swiss Stock Exchange SIX, and Euronext exchanges in Paris and Amsterdam.
Alexis Marinof, President of WisdomTree Europe, emphasized the significance of the FCA’s approval, stating that it marks a significant advancement for the cryptocurrency industry. It provides UK-based professional investors with a regulated and secure avenue to gain exposure to Bitcoin and Ethereum.
Marinof mentioned, “While UK-based professional investors have had access to crypto ETPs via overseas exchanges, the FCA approval opens up a more convenient access point. This approval could lead to increased institutional adoption of the asset class, removing barriers to entry for many professional investors.”
FCA’s Shift in Stance on Crypto Products
The FCA’s ban on crypto derivatives products, including ETPs, introduced on October 6, 2020, aimed to protect retail investors from the high risks associated with these products. However, following the widespread availability of crypto derivatives in Europe and the approval of US spot exchange-traded funds (ETFs), the FCA adjusted its stance on March 11, 2024.
LSE is also set to launch crypto exchange-trade notes (ETNs) from May 28, limited to professional investors in the UK. This aligns with broader trends in financial markets, where cryptocurrency products are becoming more integrated into traditional financial instruments and platforms.
The FCA’s approval of WisdomTree’s Bitcoin and Ethereum ETPs listing signifies the recognition of the demand for these assets and the necessity for regulated investment vehicles that offer security and transparency to investors.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
