UK Investors Can Now Avoid Taxes on Crypto Investments Thanks to Tax-Free Bitcoin

Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free account, as fintech startup Stratiphy begins offering them in a specialized individual savings account. Stratiphy, which allows users to tailor their investment strategies, will provide both crypto ETNs and Innovative Finance ISAs. These ISAs enable users to save up to £20,000 annually without incurring income tax or capital gains tax on returns. Recently, the UK's tax authority classified crypto ETNs as instruments available only in IFISAs from the start of the current tax year. This move had previously made the decision to lift the ban on retail users accessing crypto ETNs redundant, as no major investment platform offered IFISAs with crypto products. Stratiphy will provide access to three ETNs from 21Shares, covering bitcoin, ether, and a combination of BTC and gold. With £4 million in assets under management for 2,000 clients, Stratiphy's CEO notes that crypto products offer an interesting way to diversify portfolios, given their low correlation to other asset classes.