UK investors can once again benefit from tax-free cryptocurrency exchange-traded notes (ETNs) thanks to Stratiphy's approval to offer them in a specialized individual savings account (ISA). According to the Financial Times, Stratiphy, a fintech platform, will provide access to both crypto ETNs and Innovative Finance ISAs (IFISAs), allowing users to personalize their investment strategies.
ISAs enable users to save up to £20,000 per year without incurring income tax or capital gains tax on returns. Following HMRC's classification of crypto ETNs as IFISA-exclusive instruments from April 6, Stratiphy's move addresses the previous ban on retail users accessing crypto ETNs. The platform will offer three ETNs from 21Shares, including bitcoin, ether, and a BTC-gold combination. With £4 million in assets under management for 2,000 clients, Stratiphy's CEO, Daniel Gold, notes the significant interest in these products as a means to diversify portfolios and tap into a new asset class with low correlation to other classes.