Following approval, UK investors can now hold cryptocurrency exchange-traded notes in a tax-free account, thanks to fintech startup Stratiphy. This development allows investors to personalize their investment strategies using crypto ETNs and Innovative Finance ISAs. ISAs permit users to save up to £20,000 annually without incurring income tax or capital gains tax on returns.
Stratiphy will provide access to three ETNs from 21Shares, covering bitcoin, ether, and a combined bitcoin and gold product. The company manages £4 million for 2,000 clients and sees significant interest in these crypto products, which offer a new asset class with low correlation to other assets.