Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free account, thanks to Stratiphy's new offering. This fintech startup allows users to personalize their investment strategies and is providing both crypto ETNs and Innovative Finance ISAs. The latter is a wrapper authorized to invest in these products, as reported by the Financial Times.
ISAs enable users to save up to £20,000 annually without paying income tax or capital gains tax on returns. Stratiphy will provide access to three ETNs from 21Shares, including those for bitcoin, ether, and a combination of BTC and gold.
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, which manages £4 million for 2,000 clients, sees significant interest in these crypto products as a way to diversify portfolios with a new asset class that has low correlation to other asset classes.