Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free vehicle, thanks to fintech startup Stratiphy. The company will offer both crypto ETNs and Innovative Finance ISAs, allowing users to save up to £20,000 per year without paying income tax or capital gains tax on returns. This development comes after the UK's tax authority, HMRC, classified crypto ETNs as instruments only available in IFISAs from the start of the current tax year.
Stratiphy will provide access to three ETNs from 21Shares, including those tracking bitcoin, ether, and a combination of BTC and gold. The move is expected to make crypto investment more accessible to retail investors, with Stratiphy's CEO noting a high level of interest in these products as a means of diversifying portfolios.